Management has carefully reviewed the results of the first quarter, and is pleased to
report that the
Company is significantly ahead of its internal performance schedule relating to specific
acquisition,
revenue and earnings objectives. Subject to final due diligence and audits, and
assuming that all current contracts close on agreed terms, the total revenues
and gross profits on a proforma basis should approximate $30 million and $4
million respectively. Assets, in the form of accounts receivable approximate
$7.5 million.
In addition to the nine (9) locations currently under contract, HouseHold Direct
has received inquiries from many other buying club operators that have
requested to be considered for consolidation. The Company is examining other
methods to accommodate the demand more efficiently.
HouseHold Direct.com plans to implement a complete transformation of the profitable
operations within the buying club industry. HouseHold Direct will initiate the testing
of a direct marketing and investor awareness campaign geared to reach nearly
1 million consumers. The Company is in current discussions with one of the
nations largest credit card marketing companies to test several solicitation
programs.
Management has identified two specific areas requiring immediate improvement, which
include
shareholders/public relations and website development.
HouseHold Direct intends to retain a West Coast firm that specializes in the
development of Online Investor Relations Programs and managed database
systems for publicly traded companies.
Due to recent success in the initial acquisition phase, the Company believes
that this new relationship will help to leverage its exposure and dramatically
improve the Company's online shareholder relations.
HouseHold Direct is internally creating a database of investor contacts in order to
provide regular notification on Company progress. Management is extremely pleased
with the initial comments from
shareholders offering advice and support. Mr. John Folger, President and CEO, has
personally responded
to some of the individual questions, and a special team has been organized to ensure that
current investor
information is readily available. The Company will continue to accept inquiries to
infordim@aol.com until
additional phone lines and expanded e-mail services are operational.
HouseHold Direct has terminated the previous relationship with Fortune Marketing and
Capital
Consultants, Inc.
The website development project, led by Thunderstick Software, has continued to
make great progress in
the engineering and backend implementation for this massive data-driven system.
Improvements to the
front end of the site will be evident shortly. The current site, designed only on an interim
basis for a
temporary Corporate presence, is being totally revised. More specific information will
be provided in
subsequent releases.
Just trying to spark some conversation on the quiet front here.
I think next week we should start to fill these threads again with more information. I miss the crowd we had months ago. I have a good feeling we are going to bring in a newer stronger breed though.
Scott |
