Peep (and All),
You're right, two restaurants doesn't constitute a "chain", but let's not pounce on FNTN management for being a little over-zealous in the PR. I hate to see hype just as much as you, but FNTN has had a track record of not putting hype in their PRs'. If anyone disagrees, please post the PR and show me the error in my ways.
Don't really want to get the karma account drawn down, but this press release (in hindsight now) appears ummm...at the least overly optimistic.
Financial Intranet signs agreement to offer enhanced communications services to 125,000 insurance agents
NEW YORK, NY--January 14, 1998--Financial Intranet Inc. (OTCBB:FNTN) announced today that the company has signed a contract with Hill Publishing, publisher of insurance trade magazines, to offer enhanced communication services to the publisher's 125,000 subscribers. The potential value of the contract to Financial Intranet has been estimated at $60 million in revenue annually.
Michael Sheppard, President and Chief Operating Officer of Financial Intranet, said that it has been estimated by Richard Hill, President of Hill Publishing, that Financial Intranet could expect to initially sign up about 20% of their agents/subscribers, which would represent potential revenues to Financial Intranet of about $5 million per month.
The contract calls for Hill Publishing to develop and implement an informational and promotional campaign to communicate and endorse the business benefits, efficiencies and cost savings of Financial Intranet's array of interactive communications to its subscribers, located currently in Florida and Texas. Financial Intranet will off agents the following services:
The listing of all agents who sign up for services on Financial Intranet's website. Each agent will have a presence on Financial Intranet's website, which will allow them to advertise their individual services.
Substantial reduction in telecommunications costs, primarily intrastate and interstate telephone/fax calls.
The opportunity to have Financial Intranet develop and manage an agency website at a reasonable cost.
Teleconferencing and video conferencing, for any agent who has the required facilities.
Video-on-demand capabilities
Distance learning for continuing education.
Based on an estimated minimum average of $200 in revenue from each of the $25,000 agents, the company anticipates about $5 million in monthly revenue. "The revenue we expect to generate from this source for fiscal 1998 is over and above the $15 million in gross revenue and $2.5 million in net profits that the company initially projected," Sheppard said.
Hill Publishing currently reaches some 37,000 life and health agents in Florida and 72,000 in Texas. The publication also reaches about 16,000 property and casualty agents in Florida.
Financial Intranet is establishing the nation's first proprietary, secured, on-demand data and video financial information network that links the brokerage and mutual fund industries together and connects both to the individual investor. The network is also applicable to any group or association. The company has organizations in Los Angeles, Las Vegas, Denver, Atlanta, Orlando, New York and Boston.
Contact:
Martin E. Janis & Company, Inc., Chicago
Wayne Schumacher
312-943-1100 |
