Shareholder Statement
Updated: January 2009
SyncPac is a privately held company with approximately 160 investors. The company has had substantial losses accumulated since its inception and its reorganization in 2001. The founder has continued to operate the company as an on-going concern and continued to provide operating capital through direct investment and through self-funded projects. The founder has received additional shares of the company stock in lue of salary at the par value of $.001 per share. There has been no market for the shares and management is not actively seeking a market for the shares.
During the year of 2008 SyncPac closed its offices and ceased operations. All physical assets of the company were liquidated and all accounts with creditors were closed. The continued losses have forced management to discontinue opperations. Management will continue during 2009 to unwind business and to settle remaining debts and taxes. The company has notes that are due or past due to in the amout of approximately $150 thousand. The company has an outstanding tax liability of approximately $25 thousand. Management does not expect that there will be additional investment or operating loans available to continue operations considering the econommic conditions and the current financial crisis.
New investment has not been possible nor has the conversion of our stock to a public stock been possible primarily due to lack of funding and the changes in SEC rules in 2005 effecting the reporting rules for public companines. These changes in reporting resulted in a significant increase in cost of simply being a public company effectively removing incentives except for large corporations. In fact the number of IPO's dropped to near zero and with record number of companies "going private" effectively leaving the public market. The new rules also eleminate the value of a reverse merger into a public shell corporation. With the market conditions at year-end 2008 and US economic forcasts for 2009-2010 to be in full recession or at near depression levels management has done the only thing possible which is to cut all cost of operation.
SyncPac will continue to maintain basic business presence and will continue to hold its ownership in BizBanc LLC. Management expects that its BizBanc LLC holding will generate cash-flow sufficient to support itself over the next twelve months. BizBanc LLC projects that it will gather fifty new prime clients by year-end 2009. A prime client is defined as a client that fits the following criteria: Church organization with at least one of the following parameters, a capital building campaign valued at $1 million or more, has a regular membership roster of at least 500, or is at least ten years old and at least $750 thousand in general revenue. BizBanc management will aggressively market to this market as its prime target. Management does not expect to be profitable before 2012 as the expense of marketing will continue to drain profits. Our goal for 2012 is to have recruited 1000 churches as prime clients.
Should econommic conditions improve SyncPac will be able to resume normal operations.
Forward-Looking Statements
This statement may contain forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, that are based on management's current expectations, estimates and projections. Words such as "expects," "anticipates," "intends," "plans," "believes," "estimates," "projects," "may," "will," "could," "should," "would," variations of such words and similar expressions are intended to identify such forward-looking statements. Forward-looking statements are subject to known, and unknown risks and uncertainties, which could cause actual results to differ materially from those projected or implied in the forward-looking statements. Such risks and uncertainties, many of which are beyond the control of the Company, include but are not limited to, the risks, uncertainties and assumptions associated with: changes in banking regulations, charges charged by banks, action by the Federal Reserve, Florida, and other states; the ability to access funds held in escrow, the continued access to banking partners; the ability to attract and maintain adequate sales professionals, and other factors. Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect management's analysis, judgment, beliefs, projections or expectations only as of the date hereof. The Company does not undertake any obligation to publicly release any revisions to any forward-looking statements to reflect events or circumstances after the date of this release or to reflect the occurrence of unanticipated events.