Lorex announces positive first quarter 2009 EBITDA

Wednesday, February 11, 2009 4:26 PM

TORONTO, Feb. 11 /CNW/ - LOREX Technology Inc. ("LOREX") (TSX: LOX) announces results(x) for the three months ended December 31, 2008.

Highlights of the three month operating results are as follows:

(Thousands of US $,
unless otherwise noted)
----------------------------------------------------------------------
                                          Three months ended
                                              December 31
                                 -------------------------------------
                                        2008              2007
----------------------------------------------------------------------
Revenue                                      10,626            13,755
----------------------------------------------------------------------
Earnings before interest, taxes,
 amortization (xx)                               96               596
----------------------------------------------------------------------
Earnings (Loss)                                (144)              132
----------------------------------------------------------------------
Earnings (loss) per common share
 (basic and diluted)                         ($0.01)            $0.00
----------------------------------------------------------------------
Weighted average number of shares
 outstanding                             26,954,083        26,954,083
----------------------------------------------------------------------
(x)Audited financial information is available at www.sedar.com.
(xx)EBITDA is not a measure of performance under Canadian GAAP. EBITDA
should not be considered in isolation or as a substitute for Net Earnings
nor as a measure of operating performance or profitability.

Commenting on the results for the three months ending December 31st, Chairman and CEO Henry Schnurbach stated, "We continue to maneuver through economic road blocks and to provide the Company with the financial structure that will satisfy our long term growth initiatives. This past quarter the Company realized operational profitability, increased gross margin, reduced operating costs, improved inventory terms, and reduced reliance on a single business. Even though the economic climate did not allow for promotional activity in our first quarter as we had experienced in the same period of the prior year, we anticipate balanced quarterly revenues in 2009 with opportunities for structured promotional programs.

The Company is reviewing financing alternatives in the event there is a requirement for increased working capital to support business operations and/or the terms and conditions of its current banking agreement."

Annual General Meeting

FIRST QUARTER RESULTS WILL BE REVIEWED AT THE COMPANY'S ANNUAL
AND SPECIAL MEETING, WHICH WILL BE HELD THURSDAY, FEBRUARY 12, 2009,
AT 4:00 P.M. AT THE TORONTO BOARD OF TRADE, FIRST CANADIAN PLACE,
THIRD FLOOR IN THE KETCHUM/OSGOODE ROOM. PLEASE ATTEND AND VIEW
THE PRODUCTS ON DISPLAY.
About LOREX Technology Inc.:
LOREX Technology Inc. ('LOREX') (TSX:LOX) provides businesses and
consumers with leading edge video surveillance security solutions and sells
its products through two distinct market channels under the LOREX and
Digimerge brands. The LOREX brand, which caters to both small business and
consumer markets, is available in over 9,000 retail locations across North
America and has an established market presence in the UK. The Digimerge
division distributes its products through major distributors in both North
America and Europe. Both groups concentrate on the sale of wired, wireless and
IP security surveillance equipment including cameras, digital video recorders
and all-in-one systems.
LOREX subsidiaries include; LOREX Canada Inc., Digimerge Technologies
Inc., LOREX Corporation and Strategic Vista Corporation Limited, Hong Kong.
The TSX has not reviewed and does not accept responsibility for the
adequacy or accuracy of this release.

Certain information included in this news release contains statements that are forward-looking, such as statements relating to anticipated future revenues of the Company and the success of product offerings. Such forward-looking information involves important risks and uncertainties that could significantly affect anticipated results in the future, and, accordingly, such results may differ materially from those expressed in any forward-looking statements made by or on behalf of the Company. Full financial statements along with Management's Discussion and Analysis can be obtained from SEDAR at www.sedar.com

%SEDAR: 00008315E

(Source: CNW )

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