To: flyintigress who wrote (2166 ) 1/12/1999 4:29:00 PM From: Tony Rome Respond to of 3501
Just got back from trip and will make another post later today.Below is a press release for GYM Sport Supply Group Enters $1 Billion Playground Equipment Market WithJunglebug Play.Works(TM) Will Provide Playground Systems and Equipment for Daycares, Schools and Parks Ranging in Price from $5,000 to $250,000 DALLAS, Jan. 12 /PRNewswire/ -- Sport Supply Group, Inc. (NYSE: GYM), the leading direct marketer of sporting goods to the institutional and youth sports market place, today reported its entry into the playground equipment market with its JungleBug Play.Works product line. The Company offers 10 stock playground units ranging in price from $5,000 to $12,000 each, as well as custom-designed systems for as much as $250,000. JungleBug products are now being marketed by catalog through mail order, direct sales and telemarketers to school districts, park systems and daycare facilities. The equipment will also be available for on-line purchase for these as well as individual customers through the company's recently announced www.esportsonline.com web site later in 1999. "We have been selling sporting goods to schools, parks and daycare facilities for years," stated John Walker, President and Chief Operating Officer of Sport Supply Group. "However, JungleBug represents a new product line and a new commercial market for Sport Supply estimated at more than $1 billion annually. It is a market that plays off of the same factors that are driving our early childhood development business -- rapid growth in daycare and youth sports, and a general trend toward more and safer civic playground facilities. "While it is hard to forecast the initial financial impact of JungleBug sales, the size of each order with this product line will be much higher than our current average order size. In addition, we have aligned ourselves with a number of manufacturers for these products in order to minimize our inventory risks, enabling us to maintain very competitive pricing while generating profit margins that should be in line with our overall margins." "Last week we mailed 125,000 JungleBug catalogs to the school districts and park systems," explained Adam Blumenfeld, Vice President of Sales and Marketing. "We have also submitted bids to several customers for playground systems in the $50,000 range. We are off and running with this new line and anticipate that it will unfold for us in a meaningful way this year." "In the development of this new product line we have worked closely with one of the leading experts in custom playgrounds and child care plan systems design," concluded Walker. "Together we have designed a concept with products that leverage Sport Supply's strengths while meeting the diverse needs of this large market. In addition, we anticipate that this consultant will serve as an important reference for new playground equipment business." Sport Supply Group is the leading direct marketer of sporting goods equipment to the institutional and youth sports market place. The Company's products and proprietary brands are used by athletes in schools, colleges, universities, governmental agencies, camps and youth organizations across the county. This new release, other than the historical information, consists of forward looking statements that involve risks and uncertainties detailed from time to time in the Company's filings with the Securities and Exchange Commission, including the Company's Reports on Form 10-K and Form 10-Q. Actual results may vary materially. SOURCE Sport Supply Group, Inc. CO: Sport Supply Group, Inc. ST: Texas IN: MLM SPT SU: 01/12/99 08:30 EST