2010
07.19

Henderson, NV, July 19, 2010—Videolocity International, Inc.

(VCTY; http://www.videointernationalcorp.com) addresses the Investors’ inquiry about the share structure of VCTY and the shares allocation. The company does so, to dismiss any possible rumors about the company dilution. Videolocity International, Inc. management allocated company shares as follows:

The VCTY management has allocated 1 billion shares to its subsidiary Tactician University at $0.008 per share (shares in the value of $8 million USD). These are restricted shares that cannot enter the market for several years and only under specific guidelines.

The following is a brief explanation of the Rule 144, and not investment or solicitation to the reader (Explanation to the VCTY share allocation continues following this explanation).

The Federal Securities Act of 1933 generally requires that stock and other securities must be registered with the Securities and Exchange Commission (the “S.E.C.”) prior to their offer or sale. Registering securities with the S.E.C. can be expensive and time-consuming. This article offers a brief introduction to SEC Rule 144, which is a safe harbor allowing for the sale of restricted and affiliate securities in limited quantities without requiring the securities to be registered.

First it’s probably appropriate to explain the basics of restricted securities. Restricted securities are generally those which are first issued in a private placement exempt from registration and which bear a restrictive legend. The legend commonly states that the securities are not registered and cannot be offered or sold unless they are registered with the S.E.C. or exempt from registration. The restrictive legend serves to ensure that the initial, unregistered sale is not part of a scheme to avoid registration while achieving some broader distribution than the initial sale. Normally, if securities are registered when they are first issued, then they do not bear any restrictive legend and are not deemed restricted securities.

Rule 144 generally applies to corporate insiders and buyers of private placement securities that were not sold under SEC registration statement requirements. Corporate insiders, also known as affiliates, are officers, directors, or anyone else owning more than 10% of the outstanding company securities.

Under Rule 144, non-affiliates of SEC reporting companies may sell restricted securities to the public without registration (the restriction lapses upon transfer of ownership) so long as they have held the securities for six months. To qualify as a reporting company, the issuer must be, and must have been for at least 90 days prior to the sale, subject to the reporting requirements of section 13 or 15(d) of the Securities Act of 1934. To be considered a non-affiliate, one must not be an affiliate at the time of sale and must not have been an affiliate during the preceding three months. For non-affiliates of non-reporting companies, there is a one year holding period requirement. Affiliates of reporting companies have a six month holding period requirement for restricted stock as well, and under the Rule the sale must also comply with volume limitations and manner-of-sale requirements, generally. For non-reporting companies, the holding period for affiliates, if the stock is restricted, is one year. Unrestricted stock held by affiliates does not have a holding period requirement but is still subject to the volume limitations and manner-of-sale requirements.

The most recent rule change of February 2008 reduced most holding periods under Rule 144 to six months. For all the details, visit the SEC’s page on the revisions to the Rule: http://www.sec.gov/rules/final/2007/33-8869.pdf

*** VCTY Share Allocation Continuation ***

VCTY management will further allocate 1.5 billion shares at $.008 per share (shares in the value of $12 million USD) to the China Hydro Company upon completion of the merger with VCTY.

The management also intends to allocate 300 million shares at $ .008 per share (shares in the value of $2.4 million USD), for the pending merger with the US based, video rental company.

Should these mergers not come to a fruition the above shares held in escrow will be returned to the treasury and or the company may without advance notice reduce its authorized share structure.

Participate! Be heard by the US authorities! Lets put the short sellers and stock Bashers on ICE. See www.minamargroup.com/ice and sign the petition, which we intend to present to US authorities and once and for all ban the short sales in the small cap markets. The same rules as in effect in Germany and Hong Kong. Our proposal has a limited scope effecting Pink Sheets and OTCBB companies only. Fight back as an investor to repeal the “Communications Decency Act” which allows for the short sellers, stock bashers and or those which offer them a safe harbor to leech and thrive on these markets, while causing distress and decline of small/micro cap companies and the values of issuers share prices.

The company reminds its shareholders and followers to monitor PinkSheets.com Filing section and also our IR company web site section “PRESS RELEASES AND FILINGS” TAB http://www.minamargroup.net/ for non newsworthy corporate updates.

For any matters relating to retail investor queries or to send the company or its IR a message please click on the “INVESTOR SUPPORT” TAB, or the direct link http://www.minamargroup.net/helpdesk. In this regard, Mina Mar Group works diligently to answer and address all the pressing issues regarding its clients to the shareholders’ satisfaction. MMG is in constant contact with the companies, addressing, obtaining and processing all inquiries. MMG is often one of the advisors or IR companies utilized by the issuer. Depending on the location of the issuer and management’s availability, it may take up to several days to address any pressing issues. In a normal course of business and a pending transaction, the issuer may opt to remain silent in order not to lose advantage to a competitor. MMG is mindful that sometimes shareholders want answers immediately, which for the above reasons cannot be fulfilled on a timely basis.

Don’t be a victim. Report a stock basher to authorities. The company is mindful that short sellers, the company competitors and stock bashers stalk small cap Pink Sheets listed companies with hidden agendas. Visit http://www.stockbasher.com/ and find out what criminal and civil actions the US authorities are taking against web sites and the remedies available to you as an individual investor. Discover for yourself why and how USA based small businesses and the backbone of the economy suffer. Stay informed and do not allow entrepreneurs dreams, innovations, and their access to capital to be thwarted as “scalpers” and day traders vigorously day in and day out try to exploit and extinguish US innovation and progress for quick profits.

Filings for this event are currently being reviewed and will be filed with Pink Sheets and Client Support section in due course. To be included in company’s email database for press releases, industry updates, and non-weekly activity in the company that may or may not be news released, please subscribe or opt in mailer at http://www.minamargroup.com/updates.

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