Coastal Holdings, Inc. Announces Start of Delivery Process of Distribution Contract for 65,000,000 Cases of Canadian Indian Bottled Water in Beijing, China
9:50a ET June 18, 2007 (Market Wire)
Coastal Holdings, Inc. (PINKSHEETS: COHG) today announced that the delivery process of the first order has commenced for 1,000,000 cases of Canadian Indian bottled water in Beijing, China. CEO Mr. Horace Sirois has finalized all the labeling design and printing matrix, which constituted one of the last conditions required to be met in order to secure the approval of the Chinese distributor. Pursuant to this approval, the Company will ship 1 container totaling 2,000 cases of bottled water for duties and customs settings and permits.
CFO Mr. Allain Barriere stated the following: "Our Beijing law firm 'Lehman Lee & Xu' now has in their possession all the necessary documentation to organize the financial consideration, delivery schedule and payment system of the contract. We anticipate that everything will be in place by the end of June 2007."
The 5-year distribution contract was signed with a Beijing, China-based distributor to sell 65 million cases, composed of 24 500mL bottles per case, of "Canadian Indian Spring Water." The total value of the agreement represents recurring revenues of more than $400 million over a 5-year period.
Mr. Sirois and Mr. Barriere have been working diligently to execute Coastal's name change and reposition the Company's strategy and operations, since returning from their respective trips to China and Algeria a week ago.
CEO Mr. Sirois stated: "Aside from finalizing details of our 2 contracts in China, we are reorganizing Coastal's structure and moving its headquarters to Montreal, Quebec, Canada. In addition, we are developing the new corporate website and operational plan. We will inform our shareholders of major Company developments on an ongoing basis as we execute the operational plan."
Forward-Looking Statements
Please be advised that statements made herein, other than historical data, constitute forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those stated or implied by such forward-looking statements. The potential risks and uncertainties include, among others, potential volatility in the company's stock price, increased competition, customer acceptance of new products and services offered by the company, and uncertainty of future revenue and profitability and fluctuations in its quarterly operating results. Please also be advised that the company's stock is not currently registered with the Securities and Exchange Commission.
For further information please contact: Allain Barriere's office (514) 977-1271
SOURCE: Coastal Holdings, Inc.
