Newmarket Tech

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  NMKT  

PERIOD ENDING 30-Sep-04 30-Jun-04 31-Mar-04 31-Dec-03 Total Revenue 7,878   7,611   2,665   623   Cost of Revenue 4,153   4,988   1,831   350   Gross Profit 3,724   2,623   833   273   Operating Expenses Research Development -   -   -   -   Selling General and Administrative 3,264   2,613   1,634   614   Non Recurring -   -   -   -   Others 50   56   28   -   Total Operating Expenses -   -   -   -   Operating Income or Loss 410   (45) (829) (341) Income from Continuing Operations Total Other Income/Expenses Net 22   (3) 13   294   Earnings Before Interest And Taxes 432   (49) (816) 125   Interest Expense 33   42   27   6   Income Before Tax 399   (90) (842) 119   Income Tax Expense 144   (70) (0) -   Minority Interest 117   (53) 309   173   Net Income From Continuing Ops 372   (74) (533) 119   Non-recurring Events Discontinued Operations -   -   -   -   Extraordinary Items -   -   -   -   Effect Of Accounting Changes -   -   -   -   Other Items -   -   -   -   Net Income 372   (74) (533) 119   Preferred Stock And Other Adjustments -   -   -   -   Net Income Applicable To Common Shares $372   ($74) ($533) $119

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NewMarket Technology Inc. Reports Over $1 Million in New Strategic Sourcing Contracts in January and 2005 Sales Pipeline Exceeding $100 Million
Tuesday February 1, 12:45 pm ET

DALLAS--(BUSINESS WIRE)--Feb. 1, 2005-- NewMarket Technology Inc. (OTCBB:NMKT - News) announced today that the company had signed over $1 Million in new Strategic Sourcing sales in January. NewMarket's business model is centered on providing core information technology services to their clients. Within the core information technology services relationship, NewMarket then introduces emerging technology solutions that can enhance the client's overall business. As part of tits core technology services, NewMarket has established official solution partnerships with Microsoft (Nasdaq:MSFT - News), Cisco Systems (Nasdaq:CSCO - News), and Sun Microsystems (Nasdaq:SUNW - News). In parallel to its core technology services offering, NewMarket has acquired four proprietary emerging technology companies and affiliate equity interests in four additional proprietary technology companies, all of which provide valued-added functionality to the core technology products of Microsoft, Cisco and Sun. NewMarket's core information technology service clients include, for example, Siemens (NYSE:SI - News), Alcatel (NYSE:ALA - News), and Bayer (NYSE:BAY - News). For additional information regarding NewMarket's core information technology services, investors and potential clients are encouraged to visit the Strategic Sourcing web site at www.newmarketsourcing.com.

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"The reason NewMarket will succeed as an emerging technology company is that we are also a core technology service company," said Philip Verges, CEO of NewMarket Technology Inc. "It is unrealistic to think to our clients would consider flipping a switch to turn off a legacy technology and overnight turn on one of NewMarket's proprietary emerging technology products. Accordingly, we have approached our technology clients with a competitive core technology service offering augmented with a plan to migrate that core technology onto a next generation platform. Consider Voice over Internet Protocol, or VoIP, as an example. VoIP is a superior communication technology in comparison to the Public Switched Telephony Network or PSTN. However, existing PSTN solutions include equipment investment and multi-year service contracts. No corporation could afford to walk away from equipment investment or endure the financial penalties associated with breaking multi year contracts. NewMarket's approach is to immediately provide operational efficiencies through outsourcing a corporation's telecommunications functions and include a plan to migrate that function onto a next generation VoIP platform as the legacy equipment is depreciated and PSTN contracts expire."

About NewMarket Technology, Inc. (www.newmarkettechnology.com)

In 2002, NewMarket launched a business plan to continuously introduce emerging communication technologies to market. The plan included a financing model for early technologies and an approach to creating economies of scale through a specialized service and support organization intended specifically for the emerging technology industry. The Company posted six consecutive profitable quarters through 2003 and established an annualized $15 million in revenue. In 2004, the Company diversified its communications technology offering into the healthcare and homeland security industries with the respective acquisitions of Medical Office Software Inc. and Digital Computer Integration Corp (DCI). The Company has expanded sales into Asia, Latin America and Canada through the acquisitions of Infotel Technologies in Singapore, RKM IT Solutions of Caracas, Venezuela, and Logicorp respectively. The company recently announced its first spinoff with the acquisition by Defense Technology Systems (OTCBB:DFTS - News) of NewMarket's Homeland Security subsidiary, DCI, for stock. NewMarket shareholders will receive a property dividend in the form of DFTS stock at a later date.

This press release contains statements (such as projections regarding future performance) that are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those projected as a result of certain risks and uncertainties, including but not limited to those detailed from time to time in the Company's filings with the Securities and Exchange Commission.