To All:
News,
Firamada, Inc.'s New Management InitiatingChanges to Solidify Growth
July 6, 1998 12:56 PM
LOS ANGELES--(BUSINESS WIRE)--July 6, 1998--
Company to Focus Strictly on Core Business
Firamada, Inc. FAMH announced today that the Company's new management team is initiating changes to improve and solidify Firamada's continued growth.
Firamada President, Randy Malinoff, commented on Firamada's sweeping changes and future goals saying, "Our shareholders have been justifiably concerned about past management difficulties. There is no question that operational procedures have been lax in specific areas, but, I can assure you, those things are changing.
"And while the Company's fundamentals have been, and continue to remain, strong, clarity in communications with our shareholders must improve. I intend to do my best to renew the shareholders' trust by setting attainable goals, acting on well-designed plans and keeping our shareholders in the information loop. Our intent is to announce only those things that are well-founded in fact.
"Indeed, some would characterize our management style as conservative. We are fine with that as long as we continue to grow and maintain increasing profitability. We are developing a strategy to make Firamada a respected leader and innovator in the staffing industry. Starting in September, we will begin rolling out a comprehensive blueprint for building Firamada's future.
"We will be integrating sales techniques, training methods and field support together with an aggressive marketing campaign designed to further capitalize on the vast untapped PEO market. We have an abundance of opportunities within our own rapidly growing industry.
"In keeping with our focus, and in response to questions regarding our proposed participation in the Morton Downey, Jr. Talk Show, Firamada's management has decided it is in the Company's best interests to develop our employee leasing and staffing business without distraction. Therefore, Firamada will no longer be involved, in any way, with the Morton Downey, Jr. Talk Show. We do, however, wish Mr. Downey success in his show and all future endeavors."
Mr. Malinoff concluded, "With our desire to be a front-running PEO, and with our attention on the rapidly expanding IT and employee leasing markets, Firamada can realistically expect to generate annual revenues in the $200 Million to $300 Million range within 2-3 years."
Firamada also issued a statement from the recently appointed Vice President of Finance and Chief Financial Officer, Michael J. Sukey. Addressing the Company's financial status, Mr. Sukey said, "Firamada has been profitable and continues to be so. We are building on that profitability, in part, by eliminating unnecessary costs and expenses. We have already realized a savings of about $250,000 over the last month. And, by now having a single approval source for all areas of accounting, we will be looking for greater savings over the upcoming months."
This press release contains forward-looking statements with respect to the results of operations and business of the Company that involves risk and uncertainties. The Company's actual future results could materially differ from those discussed. Risks and uncertainties of the Company will be detailed from time to time in the Company's periodic reports to be filed with the Securities and Exchange Commission.
Company Information
Firamada, Inc. FAMH is a national Professional Employer Organization providing a comprehensive personnel management system that encompasses a broad range of services including: benefits and payroll administration, medical and worker's compensation insurance programs, personnel records management, liability management, employee recruiting and selection, performance management and training and development services to small and medium sized business. The company has seven offices in major markets and serves over 250 small business clients with approximately 2,500 work site employees throughout the United States.
|
