Hydron Technologies And Home Shopping Network
Enter Into Agreement To Market And Distribute
Hydron Products
BOCA RATON, Fla., Aug. 31 /PRNewswire/ -- Hydron Technologies, Inc. (OTC Bulletin
Board: HTEC) announced today that it has signed a marketing and distribution agreement with
Home Shopping Network (HSN) that grants HSN an exclusive worldwide license to market
and distribute Hydron personal care products through various forms of electronic retailing.
Hydron moisturizers are based on Hydron Technologies' patented and proprietary Hydron
polymer technology, which combines the distinct benefits of water-based and oil-based
moisturizers in a single formula. Hydron currently markets more than 40 skin care, bath &
body, and hair care products.
The agreement, which is to become effective September 1, 1999, also grants HSN a
non-exclusive license to market Hydron products through all other methods of distribution in
select countries outside the United States.
Under the terms of the agreement, HSN will make minimum product purchases from the
company during the period ending 12 months from the date on which Hydron products first air
on HSN's television programs. If HSN exceeds certain retail sales of Hydron products during
that period, the agreement will renew automatically on the same terms for a second one-year
period. Beginning in the third year, HSN will no longer be required to make minimum product
purchases, except to maintain exclusivity. The agreement may be automatically extended for an
indefinite number of successive one-year periods, subject to HSN's achieving escalating
minimum product purchase levels.
The company expects to launch its products on HSN's television programs September 16,
1999, and will debut the line with a 30-day, seven-piece skin care sampler expected to retail as
a "Today's Special" for a one-time price of $25.95. Hydron products will later be featured in
"Hydron Skin Care Solutions" hours, to air regularly on HSN's television programs.
In addition to selling Hydron products on-air, HSN will provide brand development, and
marketing promotion and support for the products, including direct mail, sampling, outbound
telemarketing, package inserts, advertising and publicity programs, the costs to be shared
equally by HSN and Hydron Technologies.
The company also announced that it has entered into a separate agreement with Harvey
Tauman, Hydron Technologies' founder, to market the company's products in connection with
HSN and to serve as its on-air spokesperson. According to Richard Banakus, Hydron
Technologies' interim president, "We are anticipating combining HSN's brand building expertise
with Mr. Tauman's experience as an electronic retail marketer, and feel this union marks an
exciting new beginning for our company."
"Hydron Technologies' focus is on e-commerce and related methods of distribution. We are
pleased to be working with such an experienced and enthusiastic partner in this industry," added
Mr. Tauman.
Hydron Technologies develops a broad range of personal care products based on its
proprietary and patented Hydron polymer technology, which combines the distinct benefits of
oil-based and water-based moisturizers in a single formula. Hydron moisturizing products are
fast-absorbing and greaseless, and let skin breathe while providing long-lasting hydration and
protection against moisture loss. The company markets its products primarily through electronic
retailing and by catalog.
Home Shopping Network, a USA company (Nasdaq: USAi), pioneered the electronic retailing
industry in 1977. Its 24-hour programming reaches 70 million households via cable, broadcast
television and satellite dishes. HSN continued its tradition of innovation in 1998 with the launch
of Short Shopping, a division that produces direct selling commercials for various broadcast
and cable network partners. The electronic retailer holds interests in shopping channels in
German and Japan and also operates Home Shopping en Espanol, a joint venture with
Univision. The network has been designated official electronic retailer for Times Square 2000.
Except for historical information, all of the expectations and assumptions contained in the
foregoing are forward-looking statements involving risks and uncertainties. For additional
information regarding the risks associated with the company's business, refer to Hydron
Technologies' reports filed with the SEC.
SOURCE: Hydron Technologies, Inc.
CONTACT: Richard Banakus of Hydron Technologies, Inc., 561-994-6191, ext. 125 |
