News!
Tuesday April 7, 4:38 pm Eastern Time
Company Press Release
Midland's Subsidiary, Arcon Energy, Inc. Sets Up a New Division
DALLAS--(BUSINESS WIRE)--April 7, 1998--Daniel W. Fisher (Chairman/CEO) announced today that Midland's (Nasdaq/BB:MIDL - news) wholly-owned subsidiary, Arcon Energy, Inc., has set up a new division known as Arcon Fuel Marketing, Inc. for the purpose of providing cross marketing coupons and ethanol gasoline sales program suitable for certain supermarkets, grocers and convenience stores.
This plan will include video advertising, coupons and gasoline sales. Arcon will develop point-of-sale gasoline marketing programs with major suppliers to the food industry for cross marketing with supermarket chains such as Food Lion, H.E.B. and Minyards to create a discount on ethanol gasoline sales at existing and new pumps being installed at supermarkets over the next five years. Arcon's fuel marketing strategy is to offer rebates on a per gallon volume basis passed on to the consumer to spur additional sales at the supermarket pumps and in these stores.
Arcon's ethanol blended gasoline is eligible for a 5.4 cents per gallon rebate until 2007. This rebate was recently passed by Congress. Additional service contracts for maintenance of the pumps and on-time delivery of gasoline to all supermarkets will create additional income and no-hassle contracts for supermarkets.
A five-year business plan and the procurement of gasoline and marketing contracts to commence immediately is being sought with a Dallas company at present. They are building over 500 service locations at supermarkets and are 75% owned by a major foreign oil company.
In addition, we are negotiating with a large ethanol gasoline blender for the supply of DF-144 on a direct basis. Arcon is expected to allot $2,500,000 toward the Arcon Fuel Marketing Program. Arcon expects to raise the above funds and considerably more through its parent company Midland, Inc.
Arcon also announces that Peter Jacoves will assist in the marketing program for Arcon. Jacoves is former Senior Vice-President of Nexus Fuels, Inc., a company whose majority owner is Lukoil, a major refining company in Russia.
Lastly, please note the name of ''Midland, Inc.'' will change to ''Arcon International, Inc.'' soon. A new symbol has been applied for and will be formalized at our annual meeting in Dallas on Friday, May 29, 1998 (see future announcements for time and place.)
We expect further updates on the development of DF-144 octane to be announced by John Spriggs, President, Octane Division, by next week.
Our toll free number is 888/478-5010.
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Contact:
Midland, Inc., Dallas
Daniel W. Fisher, 888/478-5010 |
