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CSI Completes Heartland Acquisition


PADUCAH, Ky., June 17 /PRNewswire-FirstCall/ -- Computer Services, Inc. (CSI) (Pink Sheets: CSVI) today reported that it had completed the acquisition of the remaining minority interests in Heartland Communications Internet Services, Inc. (Heartland).

(Logo: http://www.newscom.com/cgi-bin/prnh/20080418/CSILOGO )

"The acquisition of Heartland provides CSI with an expanded infrastructure to support telecommunications services for CSI and our bank customers," stated Steven A. Powless, CSI's President and Chief Executive Officer. "Since our initial investment in Heartland in 2005, we have expanded the delivery of communications services and improved our cost structure for telephone and internet circuits.

"We plan to exit Heartland's retail business to concentrate on CSI's bank customers and other institutional users going forward. We are pleased with the collaboration between Heartland's technical team and our Data Services group at CSI and look forward to their continued development of state-of-the-art communications infrastructure to serve CSI, our bank customers and others. We expect this acquisition will leverage Heartland's capabilities across our broader customer base to create additional revenue opportunities for CSI," concluded Mr. Powless.

Heartland was incorporated in 1997 and has been a provider of a broad array of internet, voice, data and video services. CSI made its initial investment in Heartland during March 2005 by purchasing 49% of its stock. CSI purchased additional shares in July 2006 that raised its stake to a majority position. As a result of CSI purchasing the remaining minority interests, Heartland will operate as a wholly-owned subsidiary of CSI. Steven A. Powless, CSI's President and Chief Executive Officer, will also serve as President and CEO of Heartland.

About Heartland Communications

Heartland Communications Internet Services, Inc. is a full service communications provider that specializes in assisting financial institutions with cost effective telecommunications and Internet data transfer across a secure network. Telephone services include traditional local and long distance, VoIP and hosted PBX systems. Heartland's affiliate program uses fiber optics, Data T1s, PRIs, T3s and collocations to offer carrier grade, turn-key solutions to meet the regulatory needs of ISPs, CLECs and other organizations and enable providers to capitalize on residential and commercial wholesale services. For more information about Heartland, visit http://www.hcis.net .

About Computer Services, Inc.

Computer Services, Inc. (CSI) delivers core banking, payments processing, Internet, card services, risk assessment, fraud prevention, network management, and regulatory compliance solutions to over 4,600 financial institutions and corporate entities. Technology planning, local account managers and world-class customer service explain why CSI has been known as the nation's premier provider of banking solutions for over 40 years. CSI's stock is traded on the OTCQX under the symbol CSVI. For more information about CSI, visit http://www.csiweb.com .

This news release contains "forward-looking statements" as that term is defined in the Private Securities Litigation Reform Act of 1995. All statements except historical statements contained herein constitute "forward-looking statements." Forward-looking statements are inherently uncertain and are based only on current expectations and assumptions that are subject to future developments that may cause results to differ materially. Readers should carefully consider: (i) economic, competitive, technological and governmental factors affecting the CSI's operations, customers, markets, services, products and prices; and (ii) other factors discussed in CSI's Information and Disclosure Statements and other documents posted from time to time on the OTCQX website, including without limitation, the description of the nature of CSI's business and its management discussion and analysis of financial condition and results of operations for reported periods. CSI undertakes no obligation to update, and is not responsible for updating, the information contained in this release beyond the publication date, whether as a result of new information or future events, or to conform the statement to actual results or changes in CSI's expectations, or otherwise or for changes made to this document by wire services or Internet services.

SOURCE Computer Services, Inc.

Tags: ,CPR,FIN,NET,TLS,TNM,KY-CSI-Heartl and -ACQ
 
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