Veltex Corporation Announces a New Acquisition; Projected Revenue of $3 Million a Year
December 14 2006 - 9:00AM
PR Newswire (US)
CITY OF INDUSTRY, Calif., Dec. 14 /PRNewswire-FirstCall/ -- Veltex
Corporation (OTC:VLXC) today announced the acquisition of 100%
ownership of Mt. Zion Gas Inc., which owns a 88,000 Square foot
property located in Mt. Zion, Chicago. The property address is 1515
N. State Highway 121, Mt. Zion, IL 62549. Veltex Corporation is a
holding company, and we are pleased to add this oil and gas
property to our holdings. The property currently has a viable
operating gas station with an attached grocery store, which will
add a projected $3 million a year in revenue. In addition, there is
a 5,000 square foot warehouse located on the property, which will
be used as our Veltex Apparel distribution center for the greater
Midwest region. Chicago is one of the largest markets for the
Promotional Apparel business. This warehouse will be used for the
Chicago distribution center. Javeed Matin, CEO of Veltex
Corporation, stated, "This property made perfect sense for Veltex
Corporation to own, as we are constantly looking to increase
shareholder value. The property already has a revenue stream
through its operating gas station and grocery store, which will add
a projected $3 million a year in revenue for Veltex with 5-10% net
profit." He added, "In addition to having a proven revenue stream,
there is a 5,000 SF warehouse that will be utilized for
distribution to the Midwest region for our garment and apparel
businesses. This will allow us to increase inventory and better
assist our customers' needs at a faster pace." Veltex Corporation
is currently negotiating another property acquisition and looks to
make an announcement on that subject within the next 30 days.
Veltex Corporation previously announced earnings per share of
$0.29, and revenue of over $53 million through the first nine
months of 2006. A copy of the company's full financial report can
be found at the company's website,
http://www.veltexcorporation.com/. ABOUT VELTEX CORPORATION Veltex
Corporation headquartered in City of Industry, California, with
distribution centers in the USA, Canada and factories in
Bangladesh, is a vertical manufacturing and import/export company
with five subsidiaries. It designs and manufactures Brand named
apparel and Caps for the promotional products industry. Also, it
manufactures high quality custom Headwear for Tommy Hilfiger,
specialized textiles primarily for use by manufacturers of
automobile interiors, upholstery for furniture manufacturers, and
ready to wear garments. It specializes in denim, microfilament,
velvet, twill, canvas, duck and pinpoints oxford fabrics. Veltex
Corporation is committed to providing superior apparel and textile
products to the U.S. and Canada at the lowest possible price and
with delivery times superior to any in the industry. It is equally
committed to always exceeding customer expectations and shareholder
value. FORWARD-LOOKING STATEMENTS Safe Harbor: Except for
historical information contained herein, the statements in this
Press Release are forward-looking statements that are made pursuant
to the safe harbor provisions of the Private Securities Litigation
Reform Act of 1995. Forward-looking statements involve known and
unknown risks and uncertainties, which may cause the Company's
actual results in future periods to differ materially from
forecasted results. These risks and uncertainties include, among
other things, volatility of market prices, product demand, market
competition, risks inherent in the Company's international
operations, and the Company's ability to replace and expand.
DATASOURCE: Veltex Corporation CONTACT: Veltex Corporation,
+1-909-595-1977 Web site: http://www.veltexcorporation.com/
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