Article: ASI Announces New Financing Agreement With an Investment Fund Managed by Cannell Capital LLC; Cannell to Purchase $2 Million Convertible Note and Warrants to Purchase Common Stock; New Financing Will Virtually Eliminate ASI's Bank Debt And Provide Working Capital.

INDIANAPOLIS -- Analytical Surveys, Inc. (ASI) today announced it has signed a definitive agreement with an investment fund managed by Cannell Capital LLC (Cannell) in connection with the purchase of a $2 million senior secured convertible note, and the issuance of warrants to purchase additional shares of ASI's common stock. ASI will use the initial $2 million investment to extinguish virtually all remaining bank debt and for working capital. As a result of the transaction, Cannell will be entitled to appoint a majority of ASI's board of directors, and if the note is fully converted and the warrants exercised, Cannell will own a majority of ASI's outstanding common ...

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