Phoenix Associates Issues Message to Shareholders
Monday July 31, 12:35 pm ET
NEW ORLEANS, LA--(MARKET WIRE)--Jul 31, 2006 -- Phoenix Associates Land Syndicate (Other OTC:PBLS.PK - News)(www.pbls.biz) today announced that Paul Alonzo, its President and CEO, issued the following message to the company's shareholders.
MESSAGE TO SHAREHOLDERS
I want to thank all of you for the overwhelming favorable comments that have been e-mailed to me as a response to my radio interview last Thursday. Phoenix will become fully transparent when the independent auditors finish their work. Phoenix has 22 companies and/or registered trade names that it operates under. At least seven of these are being cancelled. Many of these entities have different reporting dates and different states of origination. The job of putting all of these in order is overwhelming with three years of audits (2006 included) for each entity.
Whether good or bad, the news will be released, and as we take each step, Phoenix will become fully transparent. I am not going to predict a date or a time on the release of this information, only that it will be done. In 2001, the company was released from Chapter 11 (reorganization) and did $151,000 in gross revenue. By 2005, the company has changed considerably - - see unaudited consolidated financials for 2005 below. By the time of the final audit for 2006, I believe the company will be annualizing far greater numbers, even after considering the revenues that were lost due to Hurricane Katrina.
As a non-reporting pink sheet company, it is important that we maximize our time and efforts to add assets and income to Phoenix. At the same time we continue to work in a quiet period while we do our work. The reason for the quiet period was re-established Thursday while I was announcing the binding letter of intent to purchase Best Jets, Ltd. and other related companies in my teleconference. While I was finishing the interview, our stockholders began calling Best Jets and asking questions. The Best Jets group of companies had not even told their employees yet. This continuous business interference is outrageous and negatively works against the efforts of Phoenix. The purchase of another company that took someone 15 to 20 years to put together is a very delicate process. This company was their baby and their employees are their corporate family and they have a deep personal responsibility to that family. The time between the binding letter of intent and the closing contract is very critical for these and many other reasons. Stockholder interference during this time frame is ridiculous and works against all of our interests. Phoenix will remain in a quiet period.
Just as a reminder Phoenix has a buy back offer in place that reads as follows:
Phoenix shall repurchase up to one hundred million shares at a price of $0.03 per share of common stock, and all repurchases shall be effected in compliance with Rule 10b-18, promulgated under the Securities Exchange Act of 1934.
Should you wish to participate in this stock repurchase program please:
1. Send your stock certificate via "Certified -- Return Receipt Requested" mail to:
Phoenix Associates Land Syndicate
P.O. Box 1358
Covington, Louisiana 70434-1358
2. With your certificate send a letter, in your own words, stating that you are selling the stock back to Phoenix for $0.03 per share and that you request your payment on same within (30) days.
3. Sign the back of your certificate as the seller along with your letter.
4. Phoenix will handle the ensuing paperwork and pay you for your stock within thirty (30) days of the receipt of your letter and your signed certificate.
Phoenix is also pleased to announce that it has hired two directional drilling coordinators which will greatly enhance its drilling efforts and income at Ideal Energy Directional Drilling Inc.
We thank all of you for sticking with Phoenix. We are doing everything we can to enhance shareholder value and to make Phoenix a success story for all Phoenix supporters.
Phoenix Associates Land Syndicate, Inc.
Consolidated Statement of Operations for 2005
(Unaudited)
2005
-----------
Revenues 165,971,862
Costs and expenses
Operating costs 156,771,118
General and administrative 2,735,642
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Total costs and expenses 159,506,760
Operating income / (loss) 6,465,102
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Other income / (loss) 6,230,000
Depreciation and amortization 2,896,203
Depletion 2,701,000
Interest 18,770
-----------
Net income / (loss) pre tax 7,079,129
-----------
Provision for income tax 0
Net income / (loss) 7,079,129
===========
Phoenix Associates Land Syndicate, Inc.
Consolidated Statement of Operations (Unaudited)
at
12/31/2005
-----------
ASSETS
Current assets
Cash and cash equivalents 6,646,963
Accounts receivable - net 1,273,181
Inventories 9,525,500
-----------
Total current assets 17,445,644
Other assets
Investment 9,633,375
Prepaid expenses 102,296
Goodwill 9,632,540
Oil reserves 0
Land lease(s) 1,401,265
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Total other assets 20,769,476
Fixed assets
Buildings 728,000
Land 225,000
Building improvements 25,275
Machinery and equipment 2,309,398
Furniture & fixtures 157,965
Leasehold improvements 18,527,000
Mineral reserves 47,550,000
Vehicles 275,531
Less: Accum depletion (13,314,000)
Less: Accum depreciation (6,225,277)
-----------
Total fixed assets 50,258,892
TOTAL ASSETS 88,474,012
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LIABILITIES & SHAREHOLDERS' EQUITY
Current liabilities
Accounts payable 5,965,274
Note payable - short term 500,000
Accrued expenses 1,499,365
-----------
Total current liabilities 7,964,639
Long-term liabilities 2,191
Long-term debt 0
Shareholders' equity
Stock 9,499,384
Paid in capital 61,888,642
Unrealized market gain / (loss) (27,363)
Retained earnings 9,146,519
-----------
Total shareholders' equity 80,507,182
TOTAL LIABILITIES & SHAREHODDERS' EQUITY 88,474,012
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About Phoenix Associates Land Syndicate (PBLS)
Phoenix Associates Land Syndicate (PBLS) is a public holding company, with hundreds of stockholders, that has purchased motivated companies in order to enhance its assets and income basis. Since 1978, PBLS has developed assets and/or interests in sand & gravel, soil products, land development, oil and natural gas, commodity brokering, plumbing, trucking, contract hauling, construction, swimming pool construction and construction related industries. For more information, visit www.pbls.biz |
