Business Services Industry

ForeFront Holdings Announces Results for Second Quarter 2006

Business Wire, August 15, 2006

SPRINGFIELD, Tenn. -- ForeFront Holdings, Inc., ("ForeFront") (OTCBB: FOFH), formerly Datrek Miller International, Inc., a leading supplier of products and value-added services to the golf industry, reported its second quarter 2006 results. Revenues for the second quarter ended July 1, 2006 were $8.1 million, compared to $8.0 million for the comparable period in 2005. ForeFront's net loss for the second quarter ended July 1, 2006 was ($1.8) million ($0.27 loss per share) compared to ($0.6) million ($0.11 loss per share), for the comparable quarter in 2005.

The increase in net loss for the second quarter of 2006, as compared to the same quarter in 2005, was principally due to the Company's continued investment in its internal infrastructure. Also included in the quarter's results is a non-recurring expense of $0.4 million, which represents separation costs for two former executives of the Company.

Revenues for the six months ended July 1, 2006 were $14.9 million, compared to $14.7 million for the comparable period in 2005. ForeFront's net loss for the six months ended July 1, 2006 was ($3.7) million ($0.57 loss per share), compared to ($1.5) million ($0.28 loss per share) for the comparable period in 2005.

"Our sales results for the quarter and for the six months ended July 1, 2006 remained consistent with the comparable periods in 2005," said Michael Hedge, Chairman of the Board and Chief Executive Officer of ForeFront. "We are making the investment to position ForeFront for both organic and acquisition growth. Our business strategy is one that promotes growth, as we serve multiple distribution channels offering a wide selection of products and services representing multiple brands within the golf industry."

In addition, ForeFront announced that it has recently entered into two exclusive distribution agreements: the first with Top of the World, a premier manufacturer and marketer of collegiate licensed headwear completing another important accessory product category for ForeFront, and the second with Suunto, a division of Amer Sports Corporation, to market a golf line of wrist top golf computers, golf's first wrist top launch monitor. "These are ideal partnerships as we get the opportunity to be the exclusive distributor of products, and our partners now have an additional 7,000 points of sale thanks to our large network of existing accounts," added Hedge.

About ForeFront Holdings Inc.

ForeFront Holdings, Inc. (ForeFront) is a leading supplier of products and value-added services to the golf industry. For over 50 years the Company has had a history and reputation for designing, manufacturing, marketing, and supplying premium golf accessories including golf bags, travel covers, bag tags, head covers, towels, luggage, and a wide assortment of gifts and awards. ForeFront services over 7,000 points of sale through multiple distribution channels representing multiple brands within the golf industry.

This release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Act of 1934 that are based upon current expectations or beliefs, as well as a number of assumptions about future events. Although the Company believes that the expectations reflected in the forward-looking statements and the assumptions upon which they are based are reasonable, it can give no assurance that such expectations and assumptions will prove to have been correct. The reader is cautioned not to put undue reliance on these forward-looking statements, as these statements are subject to numerous factors and uncertainties, including without limitation, our success in integrating the operations of any newly-acquired businesses, and associated reduction in costs, a significant deficiency in certain of our internal controls which may not be promptly corrected, strategic acquisitions, continued and increased demand for our products, general economic conditions, the successful negotiation of potential acquisitions, successful implementation of our business strategy and competition, any of which may cause actual results to differ materially from those described in the statements. In addition, other factors that could cause actual results to differ materially are discussed in our most recent Form 10-QSB and Form 10-KSB filings with the Securities and Exchange Commission. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, our actual results could differ materially from those anticipated in these forward-looking statements. We undertake no obligation and do not intend to update, revise or otherwise publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of any unanticipated events. Although we believe that our expectations are based on reasonable assumptions, we can give no assurance that our expectations will materialize. Many factors could cause actual results to differ materially from our forward-looking statements.

COPYRIGHT 2006 Business Wire
COPYRIGHT 2008 Gale, Cengage Learning
 

BNET TalkbackShare your ideas and expertise on this topic

Please add your comment:

  1. You are currently: a Guest |
  2.  

Basic HTML tags that work in comments are: bold (<b></b>), italic (<i></i>), underline (<u></u>), and hyperlink (<a href></a)

advertisement
advertisement
  • Click Here
  • Click Here
  • Click Here
advertisement
Click Here

Content provided in partnership with Thompson Gale