310 Holdings Inc. Enters Into Definitive Asset Purchase Agreement With John Bordynuik Inc.
NIAGARA FALLS, Ontario, June 25, 2009 (GLOBE NEWSWIRE) -- 310 Holdings Inc. (OTCBB:TRTN) today announced that it has entered into a definitive agreement to purchase certain assets of John Bordynuik Inc., including all of its intellectual property, its custom tape processing hardware, its Swahili data migration system, fixed assets, and its current customer base subject to certain closing conditions and adjustments. The consideration for the acquisition of the assets are restricted common shares of 310 Holdings Inc. equal to the value of the assets.
Provided all conditions to closing are met, 310 Holdings Inc. anticipates closing this Asset Purchase Agreement on or about July 15, 2009. This proposed transaction will affect 310 Holdings Inc. quarterly financial statements. Through the agreement, 310 Holdings Inc. is able to use the hardware to immediately service existing clients of John Bordynuik Inc. which includes processing thousands of tapes from NASA. In fact, John Bordynuik Inc. was awarded purchase orders to read tapes for NASA based on FAR 13.106(b)(1) "only one source reasonably available".
John Bordynuik Inc. designed specialized hardware and software to read old computer tapes from the 1960s to present. There exist millions of tapes of seismic and earth science data with invaluable information that is inaccessible without this technology.
310 Holdings Inc. will continue to charge a flat rate fee of $22 per tape for volume data recovery migration services. None of JBI's liabilities are being assumed by 310 Holdings Inc. The fixed assets are presently valued at approximately $500,000 after depreciation. This equipment includes in excess of 15 multi-core HP servers in a cloud configuration, dozens of HP workstations, a complete 40-foot mobile data recovery container loaded with 18 tape drives and JBI technologies to read tapes off-site; another 45 customized tape drives; and other related supporting assets.
In addition, there is approximately $1M in other related hardware and assets that the Company intends to purchase from John Bordynuik Inc. which are presently being inventoried and catalogued for the final purchase.
This is an arms-length agreement between 310 Holdings Inc. and John Bordynuik Inc. by President and CEO John Bordynuik, who is the majority shareholder in both 310 Holdings and John Bordynuik Inc. The sale is being audited and all relevant filings with adjusted balances will be filed in a timely manner after the Closing Date.
John Bordynuik, President and CEO of 310 Holdings Inc., said, "We expect the acquisition to have an immediate and significant impact on our financial results. This asset purchase will allow 310 Holdings to read tapes to realize the revenue of migrating data of customers' tapes at a flat rate of $22 a tape and then recycle the old tapes by using our Plastic2Oil processor. As we are currently paid by clients to recycle these tapes, this will effectively cause a negative feedstock cost into our Plastic2Oil processor. These old tapes weigh approximately 2 kg each with their plastic cover, and we believe we will be able to produce 2 liters of fuel from every recycled tape. Through this acquisition, we have approximately 50 tons of tapes to read, to migrate the data and to recycle in our Plastic2Oil processor, 20 tons immediately."
Management believes an 8k will be filed on or about Friday, June 26, 2009 detailing the purchase.
About 310 Holdings Inc.
John Bordynuik purchased 63% of the issued and outstanding shares of 310 Holdings on April 24, 2009. Subsequently, John Bordynuik was appointed President and CEO of the Company. Management has commenced operations with Plastic2Oil, a process and service that extracts fuel from plastic. 310 Holdings Inc. is incorporated in the State of Nevada and is publicly traded on the NASDAQ OTCBB under the symbol "TRTN".
For more information, please see http://www.310holdings.com
CONTACT: 310 Holdings Inc.
John Bordynuik, President and CEO
+1 (289) firstname.lastname@example.org
+1 (289) 296-5538Katie@310holdings.com
Source: GlobeNewswire (June 25, 2009 - 4:06 PM EDT)