Rim Semiconductor Company (fka RSMI)

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Not sure if this article was posted before,

http://www.thetsector.com/showStory.cfm?ts_story_id=4498

New Visual Settles Debt with Former Officers

Tuesday, 17 December 2002

SAN DIEGO -- In compliance with a court-supervised legal settlement, New Visual Corp. has bought back 500,000 shares of its common stock and cancelled 2.2 million additional shares.
The settlement stems from a lawsuit brought against the company by former officers Allan Blevins and Michael Shepperd, whose company New Wheel Technology Inc. was acquired by New Visual in February 2000 for $6 million. As part of the deal, Blevins and Shepperd were issued three million shares of New Visual common stock and were named chief financial officer and chief technology officer, respectively.

New Wheel purportedly had developed a technology that enabled high-speed data transmissions over existing copper telephone cables. Dubbed Cu@Ocx, the technology was touted as being able to effectively bridge the so-called "last mile" between office networks and high-speed optical fiber networks.

New Visual parted ways with Blevins and Shepperd because it became apparent that it would take too long to commercialize the Cu@Ocx technology, according to Ray Willenberg Jr., chairman.

To date, New Visual, which evolved out of an entertainment company, has filed for patents but has not announced any products.

Under the terms of the settlement, announced in July, Blevins and Shepperd returned 2.2 million shares of New Visual common stock, which are being cancelled. The cancellation of these shares reduces the number of outstanding shares by approximately 4.3 percent, according to company officials.

In addition, New Visual purchased from Blevins and Shepperd 500,000 shares of stock for $375,000, paying 75 cents per share. Blevins and Shepperd will continue to hold 300,000 shares, which are subject to a lockup and will only become available for public sale at specified dates and amounts between now and January 2004. New Visual has a right of first refusal to purchase these shares.

The company also agreed to pay $75,000 to the attorneys representing Blevins and Shepperd.

In today's trading, New Visual stock (OTC Bulletin Board: NVEI.BB) fell a penny to close at 64 cents per share. The 52-week range is 33 cents to $1.79 per share. In June 2000, New Visual implemented a 1-for-4 reverse split. The company has a market capitalization of $31 million.