Simulated Environment Concepts to Initiate a Plan Reducing Authorized Shares

MIAMI, July 21, 2011 (GLOBE NEWSWIRE) — Simulated Environment Concepts (Pink Sheets:SMEVNews), the manufacturer and developer of medical, aesthetic, weight loss, wellness, and slimming equipment, announced today that the company will seek to reduce its Authorized Shares by the month’s end.

Dr. Ella Frenkel, President, CEO and Co-Founder of Simulated Environment Concepts (SE Concepts) stated, “I am a vested shareholder just as many of our investors. Where there is market dilution, I hear about it from our shareholders. When there is a decrease in share value, it affects me personally as well, and where necessary action must be taken to override current perception, I will take the appropriate measures as circumstance permits and do so to the best of my ability. In this instance, we are responding to our shareholders and we are beginning to initiate a multiphase plan to reduce the current Authorized Share amount.”

Along with other items — such as the audit — reducing the authorized shares was one of the tasks to be addressed during the last shareholder conference call. Management indicates that while the intent is to bring the authorized share amount to the low 10 digits, this will have to be accomplished in phases. The reduction in Authorized Shares is yet another management promise coming to fruition.

Allen Licht, Chief Operating Officer of Simulated Environment Concepts (SE Concepts) stated, “As we are working through the data for the audit, we’ve been able to identify several reasonable methods of protecting company’s interest while also further securing the interest of fellow investors and shareholders. As we’re able to put those protections into place, we can continue reducing the authorized shares responsibly, one step at a time.”

People close to the company suggest that while the first reduction phase may drop the current authorized down from double digits to the high single digits, the anticipated second phase, which is likely to occur after the audit’s completion, could further reduce the Authorized Shares amount; perhaps considerably lower. There is also anticipation that if the company is successful in securing a significant investment from current suitors, not only will the company further reduce authorized shares, but it will also take measures to greatly strengthen corporate structure and prepare itself to acquire other similar business and/or patents.

Dr. Frenkel said that it was likely she’ll, “Make a personal concession to have the initial phase work.” This would seem to suggest that not only will the authorized shares be decreased, but Dr. Frenkel herself may reduce her own personal equity during this structuring as well.

Dr. Frenkel concluded, “While we cannot always satisfy every request of each individual shareholder, we do listen, and we encourage our fellow shareholders to be in communication with us through email, Facebook, Twitter and of course our corporate blog. We have one goal and that is to build a strong and profitable company. We will do this by producing and selling globally successful products like the SpaCapsule and consciously making decisions that we hope will continue to positively impact and strengthen shareholder value.”

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