Wednesday June 4 8:39 AM EDT
Company Press Release
Source: Tasty Fries Inc.
Tasty Fries Inc. Closes On $4,000,000 Private Financing
Company will commence production and begin selling its patented and
revolutionary Tasty Fries(TM) French fries vending machines with operators in the United States, Canada and overseas, as it begins to penetrate an existing multibillion-dollar market
BLUE BELL, Penn., June 4 /PRNewswire/ -- Tasty Fries Inc. (OTC:FRYA), a development stage company that is about to evolve into its commercial phase, announced today that it has closed on a total $4,000,000 convertible note financing agreement.
``We are extremely pleased to announce this significant cash infusion from a major European institutional investor with a long-term outlook,'' said Edward C. Kelly, president and chief executive officer of Tasty Fries Inc. ``This funding gives the company the immediate financial muscle to complete tooling and then start commercial production of our French fry vending machine before year's end.''
``Tasty Fries vending machines represent a revolutionary breakthrough that will in fact change the way people buy fries,'' explained Kelly, ``Until now, attempts at selling French fries in vending machines have been notoriously unsuccessful-- because previous attempts used frozen
French fries that were either microwaved or convection heated. The resulting product was, of course, unsatisfactory.''
``It has taken us three years, but we have figured out the right way: Fresh cooking makes all the difference,'' insisted Kelly. ``We start with dehydrated potatoes. Water is added in the vending machine, and the resulting fries are then cooked in cholesterol-free oil. In just 88 seconds, the consumer has great-smelling, great-looking and great-tasting crispy French fries, with a salt-and-ketchup packet included. Each vending machine holds enough dehydrated potatoes,
water, oil and cups for 500 servings, with a shelf life of two years. The machines are very low maintenance. We see no reason why a Tasty Fries machine shouldn't sit aside each of the millions of soda-vending machines worldwide. Our 10 pre-production machines have been in
service for more than two years at different locations around the world. They have performed flawlessly, proving the viability of our advanced technology as well as the demand in the marketplace for our innovative product.''
Management expects that the commercial sales price for a Tasty Fries machine will be approximately $9,000.00 per unit. Currently, the anticipated price per vend is $1.00, although the actual price may vary greatly from location to location.
The Tasty Fries(TM) vending machine is a revolutionary advance -- the first multi-patented vending machine to prepare, cook and dispense French fries with the flavor, aroma and texture of freshly cut French fries. And, total vend time is a little more than one minute. Tasty Fries are made from a top-quality Idaho russet potato and cooked in cholesterol-free oil using a patented state-of-the-art robotic technology. The company intends to sell or lease its Tasty Fries machines and products on a non-exclusive basis to established, well-financed vending companies. The machines are expected to be located in high-traffic locations such as airports, bus and train stations, universities, schools, military bases, theaters, work areas and recreational venues.
Each vend contains French fries that are crisp and golden. The quality of the product is consistently uniform in each vend. The machine is computer- controlled and communicates with the consumer each time the money is deposited into it until the time the vended cup of fresh
French fried potatoes is delivered. The machine can accept dollar bills, coins or any combination thereof.
Tasty Fries Inc. has entered into an agreement with Forrest Financial Corp. to provide lease financing to operators of the company's machines who may wish to lease rather than purchase its machines. The agreement stipulates that a $15 million revolving line of credit will be available to qualified lessees for this purpose. The leasing company already has qualified some 1,400 vending companies whom it believes have the financial capability and internal structure
and experience to lease machines from the leasing company and place them in geographically desirable locations. The leasing company then will purchase machines directly from Tasty Fries Inc. at the anticipated sales price of $9,000.00 each and lease them for a period of three years. During the lease period, lessees will purchase potato product and related products directly from Tasty Fries Inc.
SOURCE: Tasty Fries Inc.
Contact: Jeff Goodman of Ronald Trahan Associates, Inc., 617-332-0101 |
