Wellstone Acquires Silverton Brand
January 03 2005 - 4:00PM
PR Newswire (US)
Wellstone Acquires Silverton Brand DURHAM, N.C., Jan. 3
/PRNewswire-FirstCall/ -- Wellstone Filters (OTC:WLSFOTC:-OTC:News)
(BULLETIN BOARD: WLSF - News) announced today that it has signed an
agreement to acquire and distribute Silverton brand cigarettes, as
soon as February 1, 2005. Wellstone still plans to introduce its
Wellstone Brand by April, 2005, after FTC approval for Wellstone
packaging has been received, but management has determined to take
advantage of an opportunity to capture market share immediately and
be generate revenues as soon as possible. Wellstone plans to
include their revolutionary new filter into The Silverton line as
soon as possible. In addition, marketing the Silverton Brand will
provide Wellstone with immediate cash flow and the potential to
capture more shelf space and market share in the discount market.
The transaction with Silverton is consistent with Wellstone's goal
to introduce its patented filter into a greater percentage of
existing brands-and consequently a greater percentage of the
cigarettes smoked. Wellstone is not required to pay Silverton's for
the brand acquisition, but only a modest license fee based on
sales. Wellstone is interested in entering into similar
distribution or licensing agreements with companies in the growing
discount segment of the cigarette market, estimated to be 12% of
the existing market. Wellstone's goal to become the largest company
in the growing discount cigarette market. Wellstone believes its
patented filter formulation will enhance the flavor of many of the
discount tobacco brands. Wellstone believes that its patented
filter formulation removes tars and certain carcinogens, while
providing better taste. However, any claim as to the benefit of any
Wellstone cigarette to be sold will be made within the parameters
prescribed by the Federal Trade Commission. Wellstone emphasizes
that NO cigarette is safe. This corporate communication by
Wellstone is not intended to induce any person to purchase
Wellstone tobacco products. ABOUT THE COMPANY Wellstone Filters,
Inc. has developed and patented filter material that removes
certain carcinogens and other toxins produced when tobacco is
smoked without removing the compounds thought to be associated with
the pleasurable effects of smoking. Wellstone seeks to promote
material for cigarette filters that will enable cigarette
manufacturers to provide consumers with an equally enjoyable
cigarette with substantially fewer carcinogens. For more
information, please see http://www.wellstonefilters.com/ or call
Investor relations at 303-620-9194. In addition, all current
shareholders, and interested parties should sign into our private
Corporate Guest Book, http://www.corporateguestbook.com/?WLSF to
receive timely updates and information on any future developments
as they happen. Note: Except for the historical information
contained herein, this new release contains forward-looking
statements that involve substantial risks and uncertainties. Among
the factors that could cause actual results or timelines to differ
materially are risks associated with research and clinical
development, regulatory approvals, supply capabilities and reliance
on third- party manufacturers, product commercialization,
competition, litigation, and the other risk factors listed from
time to time in reports filed by Wellstone with the Securities and
Exchange Commission, including but not limited to risks described
under the caption "Important Factors That May Affect Our Business,
Our Results of Operation and Our Stock Price." The forward-looking
statements contained in this news release represent judgments of
the management of Wellstone as of the date of this release.
Wellstone and its managers and agents undertake no obligation to
publicly update any forward-looking statements. DATASOURCE:
Wellstone Filters, Inc. CONTACT: Investor Relations for Wellstone
Filters, Inc., +1-303-620-9194 Web site:
http://www.wellstonefilters.com/
http://www.corporateguestbook.com/?WLSF
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