PWNX Powerlinx Inc (CE)

PowerLinx, Inc. (OTCBB: PWNX) a developer, manufacturer, and seller of power line communication products, today announced they are relocating their existing Distribution Operations and their SeaView Brand Manufacturing Operations with their Corporate Headquarters. �In 2006, we established our Headquarters in a mixed use facility with the long term goal of reducing overall operating expenses and setting up a base of operations where many of our key Managers can work under one roof,� said PowerLinx CEO and Chairman Michael Tomlinson. �Integrating the manufacturing of our industry leading SeaView product line and our overall Distribution Network into our existing Headquarters has allowed us to make great strides toward achieving these goals.� Consolidating operating units into the St. Petersburg Headquarters is another example of the cost-reduction track record that PowerLinx is establishing since the implementation of the restructuring plan under new management in May of 2005. For the previously reported quarterly results under the direction of new management, operating expenses decreased 27% and 58% for the three months ended March 31, 2007 compared to operating expenses for the three months ended March 31, 2006, and March 31, 2005, respectively. On a full fiscal year reporting basis, operating expenses decreased 18% for the year ended December 31, 2006 compared to operating expenses for the year ended December 31, 2005. Future operating expense reductions related to consolidating existing operating units will include: 1) reduced rent and facility operations overhead; 2) a reduction in overall headcount; and 3) a reduction in overall general and administrative expenses. Past and current operating expense reduction, coupled with an the current revenue growth trend and a pipeline of recently announced new Power Line products is a clear indication that the Senior Management changes in enacted in 2005 are providing the ground work for long term revenue and income growth. �Since assuming its current role in May 2005, our Executive Management Team has been successful in achieving its operating expense reduction goals,� added Tomlinson. �We will continue to identify opportunities for further operating cost reduction while striving to grow revenue. Doing this, plus pushing key Power Line R&D projects to market, will help us achieve our ultimate goal � increasing shareholder value.� About PowerLinx, Inc.: PowerLinx, Inc., www.power-linx.com, develops, manufactures, and markets products and applications that transmit voice, video, audio and data either individually or in any and all combinations over power lines, twisted-pair wires and coax in AC and DC power environments, on any and all power grids. The Company has also developed, manufactured, and marketed different kinds of underwater video cameras, lights and accessories for the marine, commercial and consumer retail markets as well as accident avoidance systems for small and large vehicles. This press release may contain "forward-looking statements" that involve risks, uncertainties and statements regarding our plans, future events, objectives, expectations, forecasts, or assumptions. statement in this press release that is not a statement of historical fact is a forward-looking statement, and in some cases, words such as "believe," "estimate," "project," "expect," "intend," "may," "anticipate," "plans," "seeks," and similar expressions identify forward-looking statements. PowerLinx, Inc. disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.