Complete Letter to shareholder!
MONTHLY LETTER TO SHAREHOLDERS
September 15, 2006
Dear Valued Shareholder,
My name is Joseph Shortal, and I’m the Chairman, CEO, and Co-Founder of
Sub-Urban Brands, Inc. I’m pleased to take this opportunity to update you, our
shareholders, on the exciting events that have taken place at our company in
recent weeks. I’d also like to provide some background to our newest investors
about Sub-Urban’s overall business strategy to generate high growth in some of
the fastest moving segments of the fashion industry.
Sub-Urban Brands is a multi-branded fashion company, based in Los Angeles,
that targets the world youth market. Specifically, we are targeting the
powerhouse 13 to 29-year-old demographic. In the U.S. alone, about 40 million
people fall into this age group, with an estimated purchasing power exceeding
$200 billion. Sub-Urban Brands has already started to establish a foothold in this
market with our initial brand, WHITEBOY®, and we aim to increase our presence
through development of a powerful portfolio of exclusive brands, including Mash
Culture Lab™ and others.
Whiteboy® has started to take off. Its instantly-recognizable rooster logo has
struck a chord with our target audience. Our radio spots for Whiteboy are edgy
and humorous, and Whiteboy® clothing has been featured in many of today’s
hottest digital and print publications.
Just as important, a large number of actors, singers, and sports heroes have
begun wearing our clothes and asking for them by name. A sampling of the
celebrities wearing Whiteboy® apparel includes actors such as Jessica Alba,
Don Cheadle, Jeremy Piven and Brittany Murphy. Also, musicians like Tommy
Lee of Motley Crue, Chester Bennington of Linkin Park and pop icon Britney
Spears. And that is just a partial list—many other celebrities are wearing Sub-
Urban Brand’s clothes as well.
All these strategies have resulted in important progress toward agreements to
distribute our products through the country’s major department stores and
retailers. And we have already announced agreements to place our Whiteboy®
line in the smaller trendsetting boutique retailers, such as Fred Segal in Los
Angeles and our MCL line in Dr. Jay’s in New York.
But Whiteboy® is just the beginning for Sub-Urban Brands. We are poised to
introduce several new brands in the near future, including Whiteboy Girl™, PYT
(Pretty Young Thing)™ and Black Jesus™.
The past month has seen some exciting new developments for Sub-Urban. We
executed an agreement with celebrated designer Heidi Minx to design a cuttingedge,
high end line for specialty retailers. We also participated as a major
sponsor at the POOL trade shows in Las Vegas and New York, where we signed
several promising deals with boutique retailers and are in discussions with other
national retailers. Additionally, we moved into larger corporate headquarters and
distribution facilities in Los Angeles to accommodate our growing design and
business operations.
Perhaps most exciting was the recent shipment of the first retail orders for the
debut collection of our new Mash Culture Lab™ clothing line to national music
retailer Virgin Megastores and trendsetting East Coast urban chain Dr. Jay’s. We
believe that the delivery of these lines demonstrates the strength of both Sub-
Urban’s multi-brand business strategy as well as the freshness and appeal of our
designs.
Sub-Urban has built a powerful, edgy, trend-setting company that combines a
youth-oriented, energetic corporate culture with proven, risk-mitigating business
practices. We have shown that our brands have built-in appeal for kids and
teens.
Thanks for your time and attention. I invite you to continue to learn more about
Sub-Urban and to follow our progress by visiting www.Whiteboy.com.
Sincerely,
Joseph Shortal
Chief Executive Officer
Sub-Urban Brands
AI
