FOR IMMEDIATE RELEASE
Gatekeeper Awarded Recurring Revenue Contract for Stop-Arm Cameras by Chattooga County School District
Abbotsford, BC July 12th, 2017 – Gatekeeper Systems Inc. (“Gatekeeper” or the “Company”) (TSX.V: GSI; OTC: GKPRF; FSE: 1GK) is pleased to announce that it has entered into a five-year recurring revenue contract (the “Contract”) with Chattooga County School District in Georgia, USA (the “District”). Pursuant to the Contract, the Company will provide an initial installation of 15 Student ProtectorTM multi-lane stop-arm video enforcement cameras equipped with TIMTM (Traffic Infraction Management) technology (the “System”).
Chattooga County School District operates school buses on approximately 33 routes. The 15 routes having the highest observed rate of stop-arm violations – collectively measured by local authorities at over 40 violations per day – will be the first to receive Systems. Gatekeeper will be working in conjunction with Chattooga County Sheriff’s Office, in accordance with the Georgia State Legislation and Georgia’s Intergovernmental Agreement to provide the District with an automated stop-arm camera solution. Under the Contract, Gatekeeper is responsible for administrating the project, managing the process from violation through paid citation, while the Sheriff’s Office will be responsible for approving or rejecting violations. The revenue generated from collection of citation fees funds the program and will be split amongst the District, the County, and Gatekeeper.
In Georgia, USA, stop-arm violation tickets begin at $300 for the first offence; $750 for the second offense; and $1,000 for subsequent offences within a five-year period. The Contract is for an initial five-year term, beginning on the day which the first citation is issued, and automatically renews for an additional five-year term unless the District or Gatekeeper provides written notice of its intention not to renew the Contract.
Doug Dyment, President and CEO commented, “We are thrilled that Chattooga County has chosen Gatekeeper for this project to deter stop-arm violators and look forward to working with them. This is the fourth revenue sharing contract we have landed in Georgia, and are confident that positive results and user experiences from this will help further drive Gatekeeper’s transition into a leading end-to-end solution provider.”
The Company currently has twenty-two school districts throughout the United States in the Evaluation Phase, representing 1,684 school buses, and is hopeful that it will be awarded additional contracts following the completion of the Evaluation Phase.
The National Association of State Directors of Pupil Transportation study for 2016 indicates 74,421 stop-arm violations occurred in a single day count from 33 of the 50 States that participated . With an average of 180 days in a school year, the number of stop-arm violations could surpass 13 million within the participating States..
Ownership of Student ProtectorTM equipment, and TIMTM, a proprietary software application remains the property of Gatekeeper, thereby providing a zero capital cost solution to school districts while enabling them to share in stop-arm violation ticket revenue.
About Gatekeeper Systems Inc.
Gatekeeper provides innovative, end-to-end video safety and security solutions for mobile applications including body cameras, in-car police video systems, school bus video and stop arm camera video enforcement systems, transit bus video systems, and airborne digital recording systems for military applications.
The Company is headquartered in Abbotsford, British Columbia, Canada, and its shares are traded on the TSX Venture Exchange under the symbol “GSI”, on the OTC Markets under the symbol “GKPRF”, and on the Frankfurt Stock Exchange under the symbol “1GK”.
For more information visit: www.gatekeeper-systems.com.
On behalf of the Board,
President & CEO
Cautionary Note Regarding Forward-Looking Statements: This release includes certain statements and information that may contain forward-looking information within the meaning of applicable Canadian securities laws or forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995. All statements in this news release, other than statements of historical facts, including statements regarding future estimates, including projected sales and revenue, plans, objectives, assumptions or expectations of future performance are forward-looking statements and contain forward-looking information. Generally, forward-looking information can be identified by the use of forward-looking terminology such as “intends” or “anticipates”, or variations of such words and phrases or statements that certain actions, events or results “may”, “could”, “should”, “would” or “occur”. Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made, including that new contracts will be awarded as expected by management and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements or forward-looking information, including the Company not being awarded new contracts and being unable to realize expected sales or revenues. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. The Company does not undertake to update any forward-looking statements or forward-looking information, except in accordance with applicable securities laws. To the extent that any forward-looking information constitutes future-oriented financial information or financial outlooks within the meaning of securities laws, such information is being provided to inform the reader of the potential financial impact of expected results and may not be appropriate for other purposes. We seek safe harbour.
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