PORT WASHINGTON, N.Y.--(BUSINESS WIRE)--
Systemax Inc. (NYSE: SYX) reported that it has notified Gilbert
Fiorentino, Chief Executive, Technology Products Group and Director of
the Company, that it intends to terminate his employment, pursuant to
the terms of his employment contract. Fiorentino has been placed on
administrative leave, effective immediately. Systemax has named Robert
Leeds to serve as Interim Chief Executive, Technology Products,
reporting to Systemax Chairman and CEO Richard Leeds. Robert Leeds was
the founding CEO of Systemax’s Technology Products business and
currently serves as Vice Chairman of the Board of Directors.
The Company’s action followed the conclusion of its independent
investigation of anonymous whistleblower allegations concerning the
Company’s Miami, Florida operations. The investigation was initially
disclosed in Systemax’s Form 10-K filed with the SEC on March 17, 2011.
Systemax reported that the investigation, which was conducted by the
Audit Committee with the assistance of independent counsel, determined
that the issues giving rise to the allegations did not have a material
impact on Systemax’s previously reported financial results and were
limited to the Company’s Miami operations. The Company expects normal
business operations to continue for its Technology Products Group
businesses.
Richard Leeds, Chairman and Chief Executive Officer of Systemax, stated,
“We appreciate that our internal processes facilitated the efforts of
the individual who brought these matters to our attention, and we
appreciate the diligent work done by our Audit Committee and its
independent counsel to thoroughly evaluate the complaints. Systemax’s
Technology Products businesses benefit from the leadership of a strong
team and the hard work of many great employees throughout the
organization. We thank them for their continued support and dedication
and look forward to a promising future.”
About Systemax
Systemax Inc. (http://www.systemax.com),
a Fortune 1000 company, sells personal computers, computer components
and supplies, consumer electronics and industrial products through a
system of branded e-Commerce web sites, retail stores, relationship
marketers and direct mail catalogs in North America and Europe.
Forward-Looking Statements
This press release contains forward-looking statements about the
Company’s performance. These statements are based on management’s
estimates, assumptions and projections and are not guarantees of future
performance. The Company assumes no obligation to update these
statements. Actual results may differ materially from results expressed
or implied in these statements as the result of risks, uncertainties and
other factors including, but not limited to: (a) unanticipated
variations in sales volume, (b) economic conditions and exchange rates,
(c) actions by competitors, (d) the continuation of key vendor
relationships, (e) the ability to maintain satisfactory loan agreements
with lenders, (f) risks associated with the delivery of merchandise to
customers utilizing common carriers, (g) the operation of the Company’s
management information systems, and (h) unanticipated legal and
administrative proceedings. Please refer to “Risk Factors” and the
Forward Looking Statements sections contained in the Company’s Form 10-K
for a more detailed explanation of the inherent limitations in such
forward-looking statements.
Source: Systemax Inc.
Contact:
Brainerd Communicators, Inc.
For Investors:
Jeff
Majtyka, 212-986-6667
[email protected]
or
Dianne
Pascarella, 212-986-6667
[email protected]
or
For
Press:
Nancy Zakhary, 212-986-6667
[email protected]