GTSI Reports Sale of Ownership Interest in Eyak Technology fro $20M

GTSI Corp. (NASDAQ: GTSI) today announced that it has sold its 37% ownership interest in Eyak Technology, LLC (EyakTek) to EyakTek for $20 million in cash.

On August 19, 2011, GTSI entered into a Settlement and Redemption Agreement with The Eyak Corporation, Global Technology Group and EyakTek to sell GTSI's interest in EyakTek and to settle the pending arbitration proceedings and litigation with EyakTek and its officers and other owners, as well as other related disputes between GTSI and EyakTek and the other owners of EyakTek.

“Our Board of Directors believed the timing was right for GTSI to liquidate this investment based on the terms of the Settlement, and to resolve all disputes with EyakTek and its owners. As a result of this settlement, we will have the opportunity to redeploy this capital by investing in more critical areas of the business. We believe this decision is in the best interest of GTSI and its shareholders, and will contribute to our alignment for growth,” said Sterling Phillips, GTSI's Chief Executive Officer and President.