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- Date: Sat, 31 Oct 1998 14:46:34 -0600
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Please open the following message in your web browser http://gs4.revnet.com/GM/MSGVIEW/MSOHNOPA.HTML ____________________________________________________________ International Shoe Manufacturing Corp Update: International Shoe Manufacturing Corp. (Ticker-ISHO) has acquired the final-stage financing to begin full-scale production at its plants in India. The $4.75 million is being used to purchase the final equipment needed to begin production at the company’s existing plant in India. With equipment in place, the company projects net profits of over $25 million a year within two years. The company stated that the financing will be followed up by a $9 million dollar IPO in India, anticipated for March 1999. The IPO will be handled by underwriters in India, and will leave ISM with control of its wholly owned subsidiary in India. The proceeds of the IPO will pay off the $4.75 million dollar financing. The balance will be used for the acquisition of additional shoe manufacturing. ISHO is in the business of manufacturing athletic footwear for the world’s leading shoe companies. It owns a 23,000-square-foot plant located in the protected “free trade zone” in Noida, just outside of New Delhi, India, where skilled labor is plentiful and very inexpensive. The Indian government recently developed new economic policy to attract foreign investment that is export-oriented, and could employ large numbers of people. ISM is the only athletic shoe manufacturer in India directed toward the international market. It currently has contracts with Adidas and The Pentland Group. These two companies have agreed to purchase all the shoes ISM can manufacture. The athletic shoe industry is estimated at $14.25 billion a year. The world’s leading shoe companies such as Adidas, Nike, and Reebok do not manufacture shoes. They are design and marketing organizations that spend hundreds of millions of dollars a year getting their products sold. They then rely on others to manufacture to their specifications. Almost, if not all athletic shoe manufacturers are privately owned, benefiting from the hundreds of millions of dollars spent on advertising by the name-brand companies. The result is an open purchase order where such manufacturers literally can sell every pair of shoes they can produce. A business like this lends itself to being privately held due to the large cash flow allowing for internal financing. International Shoe Manufacturing Corp. is the only company known to exist that offers a public investor the opportunity to own a share of this highly lucrative business in a pure investment play. For inquiries please contact the office of the director of investor relations toll free at: 877-ISM-CORP (877-476-2677) or send your e-mail request to nsi@smallcapjournal.com Your request will be handled immediately. Or write to ISM Corp at P.O. Box 520310 Longwood, Florida 32752 Please visit ISM’s web site at www.ismcorp.net Safe Harbor for Forward-Looking Statements: Except for historical information contained herein, the statements in this press release are forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties which may cause the company’s actual results in the future periods to differ materially from forecasted results. These risks and uncertainties include, among other things, product price volatility, product demand, market competition, risk inherent in the company’s domestic and international operations, imprecision in estimating product reserves and the company’s ability to replace and expand its holdings. ____________________________________________________________ Unsubscribe or access your membership settings at: http://gs4.revnet.com/GMG/ctrlpanel/0/79
Received on Saturday, 31 October 1998 15:44:25 UTC