Replies to post #445 on Axesstel Inc. (fka AXST)

[TheFinalCD]

Thanks im on phone now with

Investor Relations Agency
Cathy Mattison
LHA
44 Montgomery St., Suite 1310
San Francisco, CA 94104
Email: [e-mail]
Office: [phone]
Fax: [phone]

[alfaspider]

Item 1.01. Entry Into Material Definitive Agreement.
On November 27, 2013 we entered into an Account Purchase Agreement with Accesstel Investors LLC, a California limited liability company (the "Buyer"), pursuant which we sold the Buyer an interest in one of our accounts receivable. Specifically, we sold a 53% interest in a $1.875 million account receivable. The purchase price for the interest was $875,000 in cash, plus the issuance of 4,000,000 shares of common stock, $0.0001 par value.

We agreed to use the proceeds from the sale to meet our operating expenses including accrued payroll expenses, to make monthly payments under our Loan and Security Agreement with Silicon Valley Bank, and to make payments to contract manufacturers to manufacture products to fulfill new customer orders. We also agreed to appoint a representative from the Buyer to serve on our board of directors until the later of the our next annual meeting of stockholders or the date the account receivable is paid in full. See Item 5.02 below.

On November 25, 2013 we entered into a Forbearance and Second Amendment to Loan and Security Agreement with Silicon Valley Bank (the "Forbearance Agreement"). In connection with the Forbearance Agreement, Silicon Valley Bank consented to the sale of the interest in the account receivable under the Account Purchase Agreement. The bank also agreed to forbear from exercising any of its rights or remedies related to our existing events of default under the Loan and Security Agreement until December 20, 2013, provided that we meet the terms of the Forbearance Agreement.

The foregoing summary description of the Account Purchase Agreement and the Forbearance Agreement is qualified by reference to the complete copy of each agreement, both of which are filed as exhibits to this report.

[alfaspider]

TYCO should buy AXST out for their GSM tech...its better than anything they have in their alarm portfolio.

[alfaspider]

Law Offices of Howard G. Smith announces that it is investigating potential claims on behalf of investors of Axesstel, Inc. (“Axesstel” or the “Company”) (AXST) concerning possible violations of federal securities laws. The investigation focuses on certain statements issued by Axesstel between February 25, 2013 and March 31, 2014, concerning the Company’s operations and financial performance.

Axesstel provides wireless voice, broadband access and connected home solutions for the telecommunications market worldwide. The investigation is related to the Company’s June 13, 2013, announcement that the Company was anticipating a weak 2013 second quarter “due to slower demand in Europe, product launches in Africa that were delayed to the second quarter as a result of minor warranty issues, and a slower than expected rollout of the Company’s new products in 2013.”

The Company announced that it expected revenues for second quarter 2013 “substantially below first quarter revenue of $10.1 million, and may be as low as $2 million.” The Company further announced the resignation of its chief marketing officer, and that the Company’s chief executive officer “has been increasingly active in key customer relationships and has assumed [the CMO’s] management responsibilities.” Following this news, the Company’s shares dropped 30%, to a closing price of $0.71 per share on June 13, 2013.

On October 18, 2013, in a Form 8-K filed with the SEC, the Company announced revenues for third quarter 2013 “well short of our initial expectations,” and that the Company “used cash collected from accounts receivable to fund operations during the third quarter.” The Company’s press release also disclosed that its remaining $11.1 million of accounts receivable “includes approximately $9.0 million of sales to customers in Africa.” According to the Company: “Those accounts are aging and we are evaluating various alternatives for collection, including reserves against the accounts or in some cases retaking possession of the product as inventory, and attempting to resell the product to third parties.”

Then, on March 31, 2014, Axesstel announced that on March 27, 2014, executive management of the Company concluded that the previously issued unaudited financial statements contained in its quarterly report on Form 10-Q for the quarter ended March 31, 2013, and the two subsequent unaudited quarterly reports on Form 10-Q in 2013 for the periods ended June 30, 2013 and September 30, 2013, should no longer be relied upon because of “errors in those financial statements” related to the “recognition of revenue from sales to two customers in the first quarter of 2013,” and that the Company “intends to include restated financial information for the first three quarterly periods in our Annual Report on Form 10-K for the year ended December 31, 2013.”

If you purchased Axesstel securities between February 25, 2013 and March 31, 2014, if you have information or would like to learn more about these claims, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at 215-638-4847, Toll-Free at 888-638-4847, or by email to [e-mail], or visit our website at www.howardsmithlaw.com.

[alfaspider]

AXESSTEL INC Files SEC form 8-K, Results of Operations and Financial Condition, Non-Reliance on Previous Financials,EDGAR Online(Mon, Mar 31)
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Other Information.

We are partnering with an international distribution company that specializes in integrated supply chain solutions for the wireless industry, to distribute our Axesstel AX54N Home Alert product in the US and Canada. We have received an initial $4.3 million in purchase orders from the distributor under this program, for product which is expected to be delivered during the second quarter. The initial purchase orders are stocking orders to provide our Home Alert products in approximately 3,000 retail outlets with one of the world's largest retailers. The product is scheduled to be available in stores beginning May 1st.

We anticipate additional orders from the distributor for this initial retail customer, with the volume and timing of those orders dependent on the rate of sell through for our products. We are also working with the distributor to identify and secure other opportunities with significant retailers in the United States and Canada for our Home Alert product line.

In the fourth quarter of 2013, we effected a reduction in force that impacted approximately 50% of our employees and consultants. The reduction in force and other reductions in operating costs are intended to allow us to achieve profitable operations on annual revenues of approximately $20 million, assuming gross margins in the upper twenty percent range.

[alfaspider]

feoli2003 • Jul 2, 2014 11:45 AM

Call or go see your nearby Walmart and you will find it in stock...This is the first time since the cut the cord with Sprint that we have something viable in available in stores, and both Orbic and Straight Talk are advertising the product. with a range of 5-20 units available in Walmarts throughout the US, I don't think it will take long before we get a larger secondary order...

If AXST can get a 10 million secondary order, that will already be over $14 million in sales, and they did mention in the last report that they are working to secure other distribution agreements...
Verizon by the way is the operator under which the Axesstel signal will run.