NBC.T Yeeehaaawwww $7 Million bucks :-))
Nevada Bob's e- Strategy Attracts $7 Million US
Sheridan Reserve Incorporated buys Nevada Bob's Golf Inc.'s Internet Rights
CALGARY, Jan. 31 /CNW-PRN/ - The world's largest specialty golf retailer, Nevada Bob's Golf Inc. (TSE: ''NBC''), announced its first major step towards
domination of specialty golf retailing on the Internet by entering into an agreement to sell its Internet rights to Sheridan Reserve Incorporated (CDN: ''SHRI'') for $7
million US.
The sale would provide a $4 million US capital injection into Nevada Bob's Golf Inc. and a $3 million US equity position in Nevadabobs.com Inc., the new name
Sheridan Reserve Incorporated will adapt when the transaction is complete.
'While Nevada Bob's believes very strongly that traditional retailing will be here for the long term, we believe the successful retailers in the future will be the ones
who have the strongest brand recognition created by both a strong bricks and mortar and Internet presence,'' said Lyle P. Edwards, President and Chief Executive
Officer of Nevada Bob's Golf Inc. ''As the world's largest specialty golf retailer, Nevada Bob's already has a strong retail presence, and tremendous brand
recognition. Our steps towards dominating golf retailing on the Internet only make us more attractive as a company,'' added Edwards.
John Allen, a Nevada Bob's franchise owner in Florida, strongly supports the decision to enhance Nevada Bob's presence on the Internet and says it is something
many franchisees have been encouraging. ''A stronger presence on the Internet enhances the Nevada Bob's brand,'' he said. ''The move supplements store
operations, and allows us to compete with sellers on the Internet who have had some impact on store sales,'' he added.
Australia franchise owner Philip McKinnon echoed support of a Nevada Bob's Web presence. ''It is a responsible action protecting Nevada Bob's brand no matter
how the Internet unfolds'', he said. ''And by sharing Web sales with franchise owners, it ensures us an additional business benefit and we can't lose either way.''
Martin Bunting, Nevada Bob's Golf Inc. Chief Operating Officer, notes, ''Nevada Bob's electronic commerce entrance enhances our already strong customer
experience and makes us accessible to anyone in the world.'' The vision is for customers to be able to pick up goods they order on www.nevadabobs.com at a
convenient store location, or have them shipped right to their door or wherever they might be golfing. A percentage of sales from the Web site would be distributed
to franchises according to the territory in which the goods were ordered. ''It's a win-win,'' commented Martin Bunting. ''It is proven Web site sales drive customers
to retail locations and increase brand awareness.''
Nevadabobs.com Inc. will use the capital it has currently and expects to raise in the near future for the primary purpose of expanding Nevada Bob's presence on the
Internet. Nevadabobs.com Inc. intends to form strategic alliances and business relationships with leading Internet companies in North America. The company has
already entered into preliminary discussions with some of these companies who have expressed an interest in entering into a strategic relationship with
Nevadabobs.com Inc.
Nevada Bob's Golf Inc. is the largest retail chain of golf specialty retail stores in the world. The Nevada Bob's system of stores consists currently of a total of 281
stores, of which 195 are franchise locations. The majority of the stores are located in the United States and Canada.
Sheridan Reserve Incorporated is an investment company.
SOURCE: Nevada Bob's Golf Inc.
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