NEW YORK, NY - September 25, 2001 - LivePerson, Inc. (NASDAQ: LPSN), a leading Application Service Provider (ASP) of technology facilitating real-time sales and customer service for companies doing business on the Internet, today announced that it has received a full and unconditional release from a real estate lease for approximately 82,000 square feet in New York City. The Company will continue to be headquartered in Manhattan.
LivePerson's monthly financial obligations related to real estate will decrease by approximately $240,000, totaling approximately $24 million over the next nine years. In addition, the Company will be released from all restrictions on $4.2 million in cash related to lease security deposits. This amount was reported as restricted cash on LivePerson's balance sheet dated June 30, 2001.
Commenting on the transaction, Chief Executive Officer Robert LoCascio said, "We are very pleased that a much larger company with immediate space needs will be able to take advantage of our excess real-estate capacity. Over the past 12 months, we've been able to sustain and grow our client base to more than 2,500 paying users with a smaller New York-based workforce, and the support of our excellent R&D group in Tel Aviv, Israel. This has enabled the Company to dramatically reduce our long-term space needs, without negative impact on our performance."
LivePerson (http://www.liveperson.com/) is a leading Application Service Provider (ASP) of technology facilitating real-time sales and customer service for companies doing business on the Internet. The LivePerson service enables online businesses to communicate with Internet users in real time, thereby enhancing the online experience. With LivePerson Exchange, consisting of Chat, FAQ, Email and Document Management, LivePerson offers clients the opportunity to increase sales, lower customer service costs and increase responsiveness to customer needs. LivePerson is headquartered in New York City, with R&D facilities in Tel Aviv, Israel.
Statements in this press release regarding LivePerson, Inc. that are not historical facts are forward-looking statements and are subject to risks and uncertainties that could cause such statements to differ materially from actual future events or results. Any such forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. It is routine for our internal projections and expectations to change as the quarter progresses, and therefore it should be clearly understood that the internal projections and beliefs upon which the Company bases its expectations may change prior to the end of the quarter. Although these expectations may change, we are under no obligation to inform you if they do. Our company policy is generally to provide our expectations only once per quarter, and not to update that information until the next quarter. Actual events or results may differ materially from those contained in the projections or forward-looking statements. The following factors, among others, could cause LivePerson's actual results to differ materially from those described in a forward-looking statement: our possible delisting from Nasdaq and the capital and market price requirements for continued Nasdaq listing; the limited history of providing the LivePerson service; our limited historical annual revenue and history of losses; an unproven business model; our dependence on the success of the LivePerson service; continued use by our clients of the LivePerson service; potential fluctuations in our quarterly and annual results; risks related to adverse business conditions experienced by our clients; risks related to managing our expanding operations and staff attrition; integration of acquisitions, including the acquisition of HumanClick Ltd. and other potential acquisitions; our dependence on key employees; risks related to our international operations; competition both for qualified personnel and in the market for real-time sales and customer service technology; building awareness of the LivePerson brand name; technology systems beyond LivePerson's control and technology-related defects that could disrupt the LivePerson service; our dependence on the growth of the Internet as a medium for commerce and the viability of the infrastructure of the Internet; responding to rapid technological change; and the possible unavailability of financing as and if needed. This list is intended to identify only certain of the principal factors that could cause actual results to differ from those discussed in the forward-looking statements. Readers are referred to the reports and documents filed from time to time by LivePerson with the Securities and Exchange Commission for a discussion of these and other important risk factors that could cause actual results to differ from those discussed in forward-looking statements.
SOURCE: LivePerson, Inc.
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