360 Global Wine Company Files Amended 10-QSB and Announces Second Quarter 2007 Results and the Change of the Stock Symbol

Business Wire, Sept 12, 2007

LOS ANGELES -- 360 Global Wine Company (OTCBB:TSIQE) announced today the filing of an amended 10-QSB for the second quarter ending June 30th 2007. The Company also announced it had filed an appeal on August 28th with the OTCBB regarding the pending removal of its shares from quotation on the OTCBB. The hearing has been scheduled for October 4th 2007. The Company further announced that the stock symbol will remain "TSIQE" until the appeal is heard and a final ruling made.

The results for the second quarter represent the first full quarter of operations under new management and after the March 7th 2007 filing of a voluntary petition for reorganization under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court for the District of Nevada.

Highlights of the quarter include:

Revenues:

* Revenues for the three months ended June 30, 2007 were $5,003,439 compared to the three months ended June 30, 2006 of $4,259,192, an increase of over 17%. The substantial increase in revenue from $1,972,961 in the first quarter of 2007 to $5,003,439 in the second quarter of 2007 is partially due to the Company's inability to fulfill many of the orders it had received from its wine club members in the first quarter. The lack of shipments were caused primarily by the Company's liquidity issues, which resulted in extraordinarily low first quarter 2007 revenues.

* At the end of the first quarter, a new management team reorganized the Company, cut overhead costs, and restored it to a positive operating profit of $288,537 during the second quarter. This also allowed the Viansa operation to use internally generated funds to fulfill the remaining first quarter orders, which resulted in extraordinarily high revenue for the second quarter. By the end of the second quarter, the Company had shipped all late shipments and was on time with deliveries to the club members and visitors to the Winery.

Gross Profit:

* Gross profit for the three months ended June 30, 2007 was $2,662,578, compared to the three months ended June 30, 2006 of $1,656,736, an increase of over 61%. Gross profit increased due to the increased sales and decreased cost of goods sold. Cost of goods sold in the second quarter decreased to 47% of sales compared to 61% of sales during the same period last year. The lower cost in 2007 was partially due to the increase in the valuation of the wine inventory at the time of the Company's 2005 acquisition of Viansa. At the time of the acquisition, wine inventory was marked up in basis in accordance with the value attributed to the inventory in the acquisition. Each year thereafter, the marked up inventory has been sold and replaced with wine that bears a lower cost basis; therefore, the cost of goods sold has continued to decrease. In addition, food and merchandise sales increased from the first quarter as the Company used internally generated cash to increase the merchandise available in the winery and improved its selection and product mix.

Sales and Marketing Expense:

* Sales and marketing expenses for the three months ended June 30, 2007 were $741,842, compared to the three months ended June 30, 2006 of $1,329,065. Sales and marketing expenses for the six months ended June 30, 2007 were $1,523,250, compared to the six months ended June 30, 2006 of $7,064,742. Sales and marketing expenses have been dramatically reduced as a direct result of eliminating many of the marketing programs, including expenses relating to Indy car sponsorship. New management reviewed sales and marketing costs and many were either reduced or eliminated and new programs were developed focusing on our core business. Furthermore, productivity and efficiency was improved by a comprehensive reorganization of management staff, as well as a reduction of full-time employees and an increase in part-time staff.

General and Administrative Expense:

* General and administrative expenses for the three months ended June 30, 2007 were $857,158, compared to the three months ended June 30, 2006 of $1,080,179, a reduction of 21%. General and administrative expenses for the six months ended June 30, 2007 were $1,573,309, compared to the six months ended June 30, 2006 of $6,269,676, a reduction of nearly 75%. The improvement in general and administrative expenses is a result of staff reductions, closing the Connecticut administrative office, reductions in consulting and professional fees, and improvements in productivity and efficiency resulting from a comprehensive reorganization of the management team. Also tight controls over spending on administrative costs in the Chapter 11 proceeding have been effective. New management identified over $432,000 of monthly budget cuts and implemented the cuts during the quarter.

Interest and Other Expense

* Total interest expense for the three months ended June 30, 2007 was $1,066,273, compared to the three months ended June 30, 2006 of $1,203,714. Total interest expense for the six months ended June 30, 2007 was $1,882,521 compared to the six months ended June 30, 2006 of $6,659,058, a reduction of over 72% for the six month period.