Here-- I just copied and pasted it.
Shoot sorry---just realized that news is for SOFT. I don't know why it shows up for CSYS on my Equity trade account.
SofTech Announces New Management Team Business Wire "Press Releases - English"
New Team, Recapitalized Balance Sheet, Strategy Focused on Profitable Growth
LOWELL, Mass. --(BUSINESS WIRE)-- SofTech, Inc. (SOFT.PK) today announced the appointment of a new management team and Board of Directors led by the Companys former CEO, Joe Mullaney . As part of this reorganization, the new team has raised approximately $420,000 of new equity in exchange for approximately 7.7 million shares of unregistered common stock, a $2.9 million term loan and a $300,000 line of credit from One Conant Capital, LLC , a subsidiary of Danversbank.
The new team has negotiated an agreement with Greenleaf Capital , the Companys largest shareholder and sole debt provider to accept a payment of $2.75 million in cash at the closing and a subordinated note for $250,000 in full satisfaction of its indebtedness of approximately $10.6 million . Upon payment, all Greenleaf Capital debt facilities (except for the $250,000 subordinated note) with the Company will be terminated. Greenleaf Capital will retain its 5.4 million shares of SofTech stock although its ownership will be diluted to approximately 27% as a result of the new shares issued to the new investor team. Greenleaf Capital has given the SofTech Directors voting proxy over its shares for the three year period following the close of the transaction which took place on March 11, 2011 .
SofTech is a tremendously resilient company with solid, long term customer relationships built on a foundation of exceptional customer service and products that work. The employees, many of whom have been with the Company for 15+ years, believe deeply in the technologies we offer and strive every day to exceed customer expectations. This is a fantastic opportunity to reposition SofTech for profitable growth with a healthy balance sheet, reduced debt service and, above all, an experienced, technology-focused management team and Board of Directors whose financial interests are directly aligned with the interests of the shareholders, said Joe Mullaney .
The New Team
Upon completion of the transaction, Joe Mullaney , Bob Anthonyson , Phil Cooper and Hank Nelson were appointed to the Board of Directors. Ronald A. Elenbaas , Frederick A. Lake and Timothy L. Tyler resigned as Directors. A brief description of the background of each of the new Directors and their role with SofTech going forward follows:
Joe Mullaney re-joins the Company as CEO and as a Director. Joe served as CEO from June 2001 through December 2006 . He developed and implemented the turnaround strategy that ended three consecutive years of negative cash flow totaling almost $10 million and has resulted in almost ten years of positive cash flow. After SofTech he joined Boston Communications Group, Inc. as CEO and CFO and repositioned that troubled entity for a successful sale at double its then current market value. Over the last three years he has been active as a management consultant to established entities in the technology and renewable energy areas, while also participating as a principal with a start up focused on e-Commerce. Joe has a BS from Stonehill College and an MBA from Northeastern University .
Bob Anthonyson joins the Company as Vice President of Business Development and Director. Bob is a founder of AVID Systems, a developer of RFID-based technology that allows automated payment when entering or exiting parking garages (sold to Amtech Corp. ), co-founder of Dynamics Associates (sold to Interactive Data Corp. then owned by Chase), a patent holder, and technologist. He currently serves as a Director of FireStar Software . Bob has a BS and MS from MIT and an MBA from Stanford University .
