Yesterday evening, the first promotional e-mails for Vuzix Corp (OTC:VUZI) reached traders’ in-boxes. The company has signed an investor relations and marketing contract with a promoting firm, so the campaign could gain strong trading interest for VUZI shares today.VUZI.png

Yesterday’s session was not an usual one for VUZI stock as well. An hour before market close the stock got all of a sudden huge volume and the share price surged to $0.10. The session closed then at $0.0919 with a 2.80% increase from the previous close and the trading volume for the day was 250,000. The starting promotional campaign could not only to lift VUZI share price up, but also make the stock much more popular and improve its liquidity. Negotiated compensation is $8,000 and the promoter promises not dump shares during the campaign.

News from Vuzix Corp came lastly in the middle of last month. Then the company announced it entered into a marketing and development partnership with a provider of Augmented Reality (AR) software systems to deliver head mounted display (HMD) solutions for their customers. A week before that, VUZI also said that to have been awarded a research contract under the Defense Advanced Research Projects Agency’s (DARPA) Persistent Close Air Support (PCAS) Program. The $1 million award should fund a one-year development program.Vuzix.jpg

VUZI results seem to improve on a quarterly basis, but the last 10-K shows only a minor increase in the sales for the year 2010 as compared to sales for 2009, whereby the defense product sales have decreased by 20%. Gross margin for 2010 was also lower due to increased production costs. Also, the company has not reached profitability yet and historically it has financed its operations over stock sales and convertible debt. Like in December last year, when VUZI closed a Convertible, Senior Secured Term loan for $4,000,000 and with a 12% interest rate per year. No payments will be required within the first twelve months of the loan agreement.