I would like to take this opportunity to wish you and your families a happy and safe summer season. Here is an overview of the activity that has taken place since Universal Apparel Company was acquired by Drake Gold Resources Inc. (DKGR:OTC):
1)Since the acquisition, Universal Apparel has produced nine shipments of t-shirts that have been delivered to customers with a wholesale value in excess of $800,000 and a retail market value above $2.5 million.
2) Universal Apparel's production in three separate factories in Bangladesh is running at full capacity. Continuous shipments are expected for the next year. Order bookings are now more than these factories' maximum production capabilities.
3) Universal Apparel plans to expand its manufacturing capacity and, within the next few weeks, another factory will be added to the many that Universal Apparel utilizes.
4) Contracts have been signed to supply four containers of spring items where production will begin in August. Shipments are expected to leave Bangladesh in December. Negotiations are underway to expand this project to an additional 2 to 3 containers. Once shipments are completed this consignment alone will generate $700,000 in revenue for the company.
5)Purchase orders are being received continuously from existing customers that have selected Universal Apparel as their sole supplier for certain products.
6) Universal is in continual negotiations to supply clothing items to new wholesalers.
7) A new marketing strategy is being developed in which Universal Apparel is planning to allocate some of its marketing activities to the internet. In addition, as part of this strategy, Universal Apparel is planning on attending some prominent industry trade shows in various cities as well as beginning to advertise in industrial and trade journals. This will further enhance Universal Apparel's status as both a premium manufacturer and supplier.
I appreciate your support and feedback. I am very optimistic about the future of the company, from an increase in wholesale distributions to acquisitions while growing revenues and enhancing shareholder value.
This release includes forward-looking statements, which are based on certain assumptions and reflects management’s current expectations. These forward-looking statements are subject to a number of risks and uncertainties that could cause actual results or events to differ materially from current expectations. Some of these factors include: general global economic conditions; general industry and market conditions, sector changes and growth rates; uncertainty as to whether our strategies and business plans will yield the expected benefits; increasing competition; availability and cost of capital; the ability to identify and develop and achieve commercial success; the level of expenditures necessary to maintain and improve the quality of services; changes in the economy; changes in laws and regulations, including codes and standards, intellectual property rights, and tax matters; or other matters not anticipated; our ability to secure and maintain strategic relationships and distribution agreements. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.