VoIP, Inc. Substantially Reduces Liabilities

VoIP, Inc. announced that as of the end of the first quarter for 2007 they’ve managed to reduce their liabilities by about $11.5 million. Recently, they reached a settlement with MCI Corporation that reduced their accounts payable by $4 million.

Also, another $3.4 million in previously existing debt was converted into retricted common stock, which reduced other liabilities of about $4.1 million via restricted stock related issuances.

Tony Cataldo, VoIP, Inc.’s CEO and Chairman said,

While we have made progress in developing the infrastructure to support revenue growth since the new management team has been in place, we have also significantly improved the balance sheet. The reduction in outstanding liabilities has positioned the Company to invest in expanding its network in order to capitalize on the many exciting opportunities for growth.