Mr. Johnson Joseph reports

PEAK FILES THIRD QUARTER 2014 RESULTS

Peak Positioning Technologies Inc. has released its financial results for the three-month and nine-month periods ended Sept. 30, 2014.

Financial results:

• Acquisition of a minority interest in LongKey Hong Kong Ltd.;
• Total expenses at $281,314;
• Net loss at $267,824.

Third quarter financial results summary

Peak generated Web development services revenues of $13,490 for the three months ended Sept. 30, 2014, for a cumulative amount of $34,090 for the nine-month period ended Sept. 30, 2014, while last year, the revenues were generated in royalties from its activities in China. The royalties amounted to $77,978 and $345,627 for the three months and nine months ended Sept. 30, 2013, respectively. The minimum revenue guarantee clause ended in March, 2013, explaining the reduction to September, 2013. The royalties stopped in the third quarter of 2013, which explains that no such royalties were generated in fiscal 2014.

Expenses for the third quarter amounted to $281,314 compared with $230,610 in the comparable period of 2013. The increase is mainly due to management fees, subcontracting, consulting fees and interest expenses offset partly by a reduction in salary given the decision of the management to the temporary layoff of the development team in the second quarter of 2014.

The net loss for the three-month period ended Sept. 30, 2014, was $267,824 compared with $152,632 in the comparable period of 2013.

Full details of the company's third quarter 2014 financial results can be found in the unaudited consolidated financial statements and management's discussion and analysis for the three-month and nine-month periods ended Sept. 30, 2014, and 2013, which are available at SEDAR.