C3, Inc. Wins New Accounts Company
Meets Fourth Quarter Shipment Goals; Provides Update
on Crystal Growth
MORRISVILLE, N.C., Jan. 13 /PRNewswire/ -- C3, Inc. (Nasdaq-NM: CTHR - news), a
developer of moissanite gemstones -- a proprietary, colorless, lab-created gemstone -- today
announced 24 new domestic retail agreements and 3 additional international agreements for the sale
of moissanite gemstones.
The announcements bring the number of domestic retail locations that will be carrying lab-created
moissanite gemstones to 100. C3 announced the following new exclusive international distributors:
Amona Gems (France), World Trade Thai Co., Ltd. (Thailand), and 5C International (Poland). In
aggregate, these three international agreements require purchases in excess of $2 million in
moissanite gemstones through 1999. Additionally, C3 announced an extension of the current
agreement with Arsaurea for distribution of moissanite in Italy through 1999.
Jeff N. Hunter, chairman and chief executive officer of C3, said, ''We are pleased to have met the
interim milestone of 100 authorized retailers for moissanite gemstones. We are also excited by the
expansion of our international distribution. Although one international customer has not performed to
the terms of their agreement, the aggregate shipments to our international distributors were in line
with the contracted amounts for 1998.''
C3 also announced preliminary information regarding fourth quarter sales of moissanite gemstones.
The company reached its goal of shipping 10,000 carats in the fourth quarter, while demand for the
one to two carat size gemstones far outpaced supply.
''We are very encouraged by recent sales feedback from our exclusive retailers,'' said Mr. Hunter.
''Some moissanite retailers reported approximately 50 percent of total holiday sales were derived
from moissanite jewelry.''
By December, all of the crystal growers ordered in 1998 were in place, and therefore January
crystal deliveries are expected to be approximately triple those of July 1998 (prior to the initial
equipment installation). While the yields of gemstones increased during the first half of the year as C3
announced the two-inch repeatable process in July 1998, the company expected yields to continue
to improve throughout the year. Yields from the best crystals did improve in the fourth quarter,
however on average, net yields remained constant resulting largely from the company cutting the
highly demanded larger stones that require more stringent yield specifications. Substantial efforts by
Cree and C3 to eliminate yield fluctuations have brought early successes, and yields are expected to
improve as the manufacturing process matures.
In other company news, C3 named Andy McCord Director of Sales. Mr. McCord has extensive
jewelry experience both domestically and abroad. Experienced in the jewelry industry at both the
wholesale (through Italian jewelry manufacturers) and retail levels, he was most recently the owner of
Danielle Alexander, Inc., a fine retail jewelry store. In addition, he is fluent in Italian, Spanish and
French.
New Domestic Agreements:
Retailer Location
Goodson's Jewelers, Inc. Opelika, AL
Mekong Jewelry San Jose, CA
The Jewelry Factory Mary Esther, FL
Cisneros Jewelers Orlando, FL
Schramm-Bacher Jewelers Springfield, IL
Highland Jewelers Inc. Highland, IN
Smith Jewelers Leesville, LA
M&B Sales Shreveport, LA
Mos'Art Jewelers Fenton, MI
Malashod's Jewelry Co. Omaha, NE
Yuran Jewelers Middle Village, NY
Ro Star Inc. New York, NY
Butner Jeweler's Butner, NC
Simon Jewelers High Point, NC
The Jewelry Connection Marion, NC
Mike's Downtown Jewelers New Bern, NC
Baker & Baker Marietta, OH
Alexander's Jewelers Texarkana, TX
Accent Jewelers Charlottesville, VA
Clarksville Jewelry by Ann, Inc. Clarksville, VA
Forest Jewelry Forest, VA
A Different Facet Harrisonburg, VA
Haywood's Inc. Rocky Mount, VA
C.C. Conrad Milwaukee, WI
New International Agreements:
Distributor Location
Amona Gems France
World Trade Thai Co., Ltd. Thailand
5C International Poland
C3, Inc., based in the Research Triangle Park area of North Carolina, became a public company in
1997. For more information, please access www.moissanite.com.
This press release contains forward-looking statements that relate to C3's future plans and
objectives. These statements are subject to numerous risks and uncertainties, including without
limitation the lack of an operating history upon which C3 and its prospects can be evaluated, the
need for further development of C3's products, C3's reliance on Cree Research, Inc. as a developer
and supplier of silicon carbide crystals, the small size of the current market for C3's products and
uncertainty of market acceptance and demand for such products in the future. These and other risks
and uncertainties, which are detailed in C3's filings with the SEC including forms 10-K and 10-Q,
could cause actual results and developments to be materially different from those expressed or
implied by any of the forward-looking statements included in this press release.
SOURCE: C3, Inc. |
