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Wednesday 15 July, 2009

Vectrix Corporation

Strategic Update

RNS Number : 6909V
Vectrix Corporation
15 July 2009
 



Date:

15 July 2009

On behalf of:

Vectrix Corporation ('Vectrix' or 'the Company')

For immediate release





Middletown, R.I. - Vectrix Corporation (AIM: VRX) (www.vectrix.com) announces that it has laid off all but essential staff in an effort to conserve cash while continuing to pursue strategic options including the sale of the Company. Remaining staff will simultaneously begin the process of preparing for a bankruptcy filing under Delaware law with a view to filing in the next thirty days in the event continuing efforts prove unsuccessful. 


The Company has been operating in challenging market conditions for some time as a result of the credit crunch and lack of consumer spending on bigger ticket retail purchases. The Company has made every effort to reduce costs and conserve cash, but market conditions continue to be difficult and the results of sales have been very disappointing. During the current fiscal year management has explored options to secure financing for the Company as well as other initiatives including the sale of the Company as a going concern. 

 

- Ends -


Enquiries to:


VECTRIX Corporation

www.vectrix.com

Michael J. Boyle, President and CEO

(401) 848-9993


HSBC



Nick Donald / Nic Hellyer

+44 (0)20 7991 8888



Notes to Editors


About Vectrix


Vectrix listed on AIM in May 2007 and is the developer of the world's first high performance, zero emission, electric motorcycle which is at least 10 times more powerful than existing electric power two wheel vehicles.


Vectrix is dedicated to developing and commercializing zero emission vehicle platform technologies focused on two-wheel applications. Longer term, Vectrix plans to develop environmentally sensitive technologies for other segments within the transportation industry. 


Vectrix is headquartered in MiddletownRhode IslandUSA, has a modern vehicle assembly facility in WroclawPoland and an R&D center in New BedfordMassachusetts.


Vectrix was awarded the 2006 Frost & Sullivan Award for Technology Innovation and Leadership in Alternative Vehicle Technologies.


Transportation is the largest single source of air pollution in the world. A typical motorcycle/scooter produces significantly more CO2 and pollutants than a large diesel truck, and far more than a modern low emission automobile. The Vectrix bike utilizes innovative zero-emission technology, offering customers a clean, affordable, and much needed alternative.



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