Press Release Source: First Guardian Financial Corporation
First Guardian Financial Corporation to Formulate Share Buyback Program
Thursday June 8, 10:12 am ET
NEW YORK--(BUSINESS WIRE)--June 8, 2006--First Guardian Financial Corporation (Pink Sheets: FGFC - News) today reported that its Board of Directors has directed executive management on Wednesday, June 7, 2006, to formulate a share buyback program to further reduce the company's outstanding/float of common shares.
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The company's executive management will prepare a proposed share buyback program within the next week per the Board of Directors request, management will attempt to budget/spent up to 0.06 (cents per share) to purchase/buyback on the open market (of its shares) up to (25,000,000) twenty five million of its shares, thus further reducing the company's outstanding/float to 53,331,916 shares. "This directive reflects the continued commitment of First Guardian Financial Corporations management and Board of Directors to reduce the outstanding/float and restrict any dilution while creating maximum value for our current and future shareholders," said Abraham Rosenman, President.
At the same meeting, the board directed executive management to review its opportunities with Alliance Financial Services (they are under retainer to the company) to provide acquisition and/or merger funding via self liquidating zero coupon bonds, the process is very appealing as the bonds (AAA Rated) are purchased through brokers such as Merrill Lynch, Credit Suisse or other major brokerage houses and financed by The Bank of Israel or other major banking institutions and will provide another valuable source of financing for further growth, without diluting the company's shares.
"The Board of Directors has directed me to reduce the outstanding/float shares as much as I can to a pre forward split price of at least 0.90 to 1.00 per share, given this task I will continue to seek opportunities to reduce the outstanding/float shares as much as possible, while creating/increased revenues and value for the company," said Abraham Rosenman.
About First Guardian Financial Corporation:
The company is a Financial Holding Company currently providing Commercial Real Estate Financing & Invests for its own portfolio in small to mid sized businesses. Its primary goal is to provide short term financing within the commercial real estate market and invest and or provide secured short term financing to businesses either in the start up stage or growth stage throughout the United States.
This press release does not constitute an offer of any securities for sale. This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements involve certain risks and uncertainties that could cause actual results to differ, including, without limitation, the company's limited operating history and history of losses, the inability to successfully obtain further funding, the inability to raise capital on terms acceptable to the company, the inability to compete effectively in the marketplace, the inability to complete the proposed acquisition and such other risks that could cause the actual results to differ materially from those contained in the company's projections or forward-looking statements. All forward-looking statements in this press release are based on information available to the company as of the date hereof, and the company undertakes no obligation to update forward-looking statements to reflect events or circumstances occurring after the date of this press release.
Contact:
First Guardian Financial Corporation
Investor Relations, 212-572-4823
Fax: 212-572-6499
ir@guardianfinancialcorp.com
www.guardianfinancialcorp.com
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