Monday July 2, Press Release Red Bell Brewing Company's Strategic Brewpub Expansion Plan Continues
PHILADELPHIA--(BUSINESS WIRE)--July 2, 2001--Red Bell Brewing Company (NASDAQ OTC BB: ``RDBL''), brewers of 10 fine Ales and Lager beers announced today that the Company has taken another major step in increasing shareholder value by announcing that the Company has signed a Letter of Intent agreement with an undisclosed third party in Philadelphia which will permit the Company to acquire all of the assets, liquor license and lease of a existing local entity within the restaurant hospitality industry.
Red Bell President and CEO James R. Bell stated: ``Our current primary objective over the next 15 -24 months is to continue to reduce Company debt by as much as 50% and to continue to develop/acquire and operate 4 -5 new strategic Company brewpub restaurants increasing the Company's revenues and earnings while strengthening the affinity for the Company and our 10 brands. In May, Red Bell reported news of further debt reduction and one of many strategic programs the Company is working on. Today's announcement of the development of another strategic Company brewpub is another building block in the Company's overall plan of developing greater share value.''
Red Bell signed an agreement which will permit the Company to acquire all of the assets, liquor license and lease of from a Philadelphia based company. ``The agreement will permit Red Bell to develop and operate a 3,650 sq. ft. Red Bell brewpub in one of the most successful areas in the City of Philadelphia by late September of this year. The Company anticipates with the opening of this brewpub property by late September, the Company could realize an increase in revenues by 24%-28% by year ending December 31, 2001.'' Red Bell expects to begin renovations on or before July 12, 2001.
About Red Bell Brewing Company:
Red Bell Brewing Company's goal is to be the only publicly traded brewing company in the country which combines a large regional brewery with a strategic network of smaller breweries known as ``brewpub restaurants'', in key beer markets.
Red Bell Brewing Company developed, co-operates and licenses its name to the first ever complete brewery operation and brewpub in a Professional Arena located at the First Union Center, home of the Philadelphia Flyers and 76ers. Red Bell also licenses its name to three brewpubs at Veterans Stadium, home to the Philadelphia Eagles and Phillies. Red Bell plans to announce 2 -3 new strategic Red Bell brewpub properties this coming year.
This press release contains forward-looking statements that involve risks and uncertainties. The Company's actual results could differ as a result of numerous factors which may be beyond the Company's control.
Information about potential factors, which could affect the Company's future performance, is included in the Risk Factors section of the Company's filings with the Securities and Exchange Commission.
All forward-looking statements included in this document are based on information available to the Company as of the date of this document, and the Company assumes no obligation to update any such forward-looking statements.
Source: Red Bell Brewing Company
--------------------------------------------------------------------------------
Contact:
Red Bell Brewing Company
Tim Barham, 336/375-7540 |
