Autobytel Reminds Stockholders about Tax Benefit Preservation Plan in View of Recent Trading Activity in Companya?s Shares

Published in Science and Technology on Tuesday, March 29th 2011 at 15:35 GMT by Market Wire
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IRVINE, Calif.--([ BUSINESS WIRE ])--Autobytel Inc. (Nasdaq: ABTL), a leading provider of online consumer purchase requests and marketing resources to the automotive industry, today reminded stockholders about its Tax Benefit Preservation Plan, adopted in May 2010, in view of recent trading activity in the companya�s common stock.

The plan was adopted to protect stockholder value by seeking to preserve the companya�s substantial net operating loss carryovers and other tax attributes for United States federal income tax purposes that can generally be used to offset future taxable income, and therefore, reduce federal income tax obligations. These tax benefits would be substantially limited if the company were to experience an aownership change,a as defined in Section 382 of the Internal Revenue Code.

In general, an ownership change will occur if the companya�s a5-percent shareholders,a for purposes of Section 382, collectively increase their ownership in the company by an aggregate of more than 50 percentage points over a rolling three-year period.The Tax Benefit Preservation Plan is designed to reduce the likelihood that the company experiences such an ownership change by discouraging any person or group from becoming a new 5-percent shareholder under Section 382 and any 5-percent shareholder existing at the time of adoption of the plan from acquiring additional shares of common stock. The plan is triggered upon the acquisition of 4.90% or more of the companya�s outstanding common stock by a person or group that was not a 5-percent shareholder at the time of the plana�s adoption or upon the acquisition of additional shares of common stock by a person or group that was a 5-percent shareholder at the time of the plana�s adoption.

For a more complete description of the Tax Benefit Preservation Plan please see the companya�s Current Report on Form 8-K filed with the Securities and Exchange Commission on June 2, 2010. The plan, a summary of the plan and FAQs regarding the plan are available on Autobytela�s website at [ www.autobytel.com ]a" Investor Relations a" Tax Benefit Preservation Plan.

About Autobytel

Autobytel Inc., an online leader offering consumer purchase requests and marketing resources to [ car dealers ] and manufacturers and providing consumers with the information they need to purchase new and [ used cars ], pioneered the automotive Internet when it launched autobytel.com in 1995. Today, Autobytel believes it is now the largest provider of U.S. automotive consumer purchase requests for [ new cars ] and continues to offer innovative products and services to help consumers buy, and auto dealers and manufacturers sell, more used and new cars. Autobytel has helped tens of millions of automotive consumers research vehicles; connected thousands of dealers nationwide with motivated car buyers; and helped every major automaker market its brand online. Through its flagship website Autobytel.com^�, its network of automotive sites, including Autotropolis.com^�, Autoweb.com^�, AutoSite.com^�, Car.com^sm, CarSmart.com^�, CarTV.com^�, DealershipJobs.com^sm, MyGarage.com^� and MyRide.com^� and its respected online partners, Autobytel continues its dedication to innovating the industry's highest quality Internet programs to provide consumers with a comprehensive and positive automotive research and purchasing experience, and auto dealers, dealer groups and auto manufacturers with one of the industry's most productive and cost-effective customer referral and marketing programs.

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Autobytel Reminds Stockholders about Tax Benefit Preservation Plan in View of Recent Trading Activity in Companya?s Shares