FocalCorp has been incorporated in the United States as a wholly-owned subsidiary of VMI, operationally located in the San Francisco area of California. Hamish Forsythe, FocalCorp's President and CEO is pursuing a number of different financing alternatives based on very encouraging market research. This new funding should eliminate the current use of VMI resources for funding and growth of FocalCorp, while ensuring VMI retains a significant position in the new company. To further highlight the earning potential for our established businesses, VMI management has made the decision to have the two other divisions operate as distinct business units. Nereus Multimedia Publishing will operate under the presidency of Dale Hardy.
Management believes in our technology and that our growth strategies are fundamentally sound.
All indicators point to increased revenues and a reduction in the rate of our net expenditures as our products and services align themselves with market readiness. VMI has three operating businesses with tremendous upside potential to benefit from our technologies. Vicom Multimedia Inc. is an Information Technology company providing tools that enable media rich content to be more effectively produced, managed, stored and distributed, as well as offering a full range of video and multimedia services. Together they bring strong software backgrounds with years of consulting and financial experience. This exposure, along with our beta test site program including such notable users as PointCast and the Weather Channel, sends strong signals regarding market readiness and the technological leadership of FocalCorp's family of products.