Rimage Corporation (NASDAQ:RIMG) today announced that Qumu has partnered with one of its key managed service providers to close a multi-year, multi-million dollar contract with a Fortune 50 corporation. This is the largest single transaction in Qumu’s history. “The successful closing of this transaction represents a major milestone in the Company’s transformation and is a significant accomplishment for Qumu,” said Sherman Black, president and CEO of Rimage. “This key win was enabled by the ease of integration of Qumu’s enterprise video solution into the customer’s complex environment and the customer’s confidence that our solution will scale secure delivery of video content to PCs and tablets over varying bandwidth networks simultaneously.” Second quarter Qumu contracted commitments are now expected to be more than $6 million, an increase of more than $4 million from first quarter 2012 levels. The Company defines contracted commitments as the dollar value of signed customer purchase commitments. The Qumu transaction does not affect the Company’s financial guidance for the second quarter of 2012. Forward-Looking Statements This press release contains forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Any statements contained in this press release that are not statements of historical fact may be deemed to be forward-looking statements. Without limiting the foregoing, words such as “may,” “will,” “expect,” “believe,” “anticipate,” or “estimate” or comparable terminology are intended to identify forward-looking statements. Such forward-looking statements include, for example, statements about: the Company’s or Qumu’s future revenue and operating performance or Qumu’s contracted commitments. The statements made by the Company are based upon management’s current expectations and are subject to certain risks and uncertainties that could cause the actual results to differ materially from those described in the forward-looking statements. These risks and uncertainties include the risk factors described in the Company’s Annual Report on Form 10-K for the year ended December 31, 2011 and other factors set forth in the Company’s filings with the Securities and Exchange Commission.
Shares of Rimage Corporation (Nasdaq:RIMG) were gapping down Monday morning with an open price 14.6% lower than Friday's closing price. The stock closed at $13.18 yesterday and opened today's trading at $11.25.