MADISON BAY HLDGS INC COM (MDB)

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Uplisting News Coming Soon, IMO:

March 31, 2006 - 9:30 AM EST


Madison Bay Holdings, Inc. Announces 2006 First Quarter Business Update and Overview Report March 31, 2006
Business Overview
SEATTLE, March 31 /PRNewswire-FirstCall/ -- Madison Bay Holdings, Inc. (Pink Sheets: MDBY) is a holding company engaged in the acquisition or merger of operating companies primarily in the marine, recreational vehicle (RV) or leisure product business.

On occasion an acquisition or business venture with a company outside the marine or leisure product industry will be completed depending upon the capability of management to understand and operate the business and the financial ability of MDBY to finance the venture without jeopardizing ongoing operations or other opportunities.

The prime consideration for all acquisitions shall be based on return on investment, fit within the company, cash flow and other financial considerations to assure continued increase in shareholder value.

In 2005 a merger was completed with Summit Coaches and Madison Bay Marine Development, which ultimately led to a change in name to Madison Bay Holdings, Inc. Prior to the merger Madison Bay operated for many years as a private company providing business development services, consulting, marketing and direct sales services to growth oriented small cap companies, or distressed and start up companies.

Madison Bay acquired, or was responsible for the acquisition of four boat companies in the past four years. These acquisitions were completed in conjunction with other companies and Madison Bay generated earnings through fees, commissions, or equity earnings.

The plan for MDBY is to continue to capitalize on the resources and experience to acquire or 'roll up' a number of marine, RV, or other leisure product companies. Currently the company owns the molds, equipment and prototype to manufacture the state of the art 38 foot Stiletto fifth wheel trailer. The company also owns the exclusive distribution rights for Warlock Power Boats and has a first right of refusal to acquire Warlock Power Boats.

There are increasing opportunities within the marine, RV, aviation and other leisure product sectors in manufacturing and retailing as a result of the maturing of many companies and the increasing size of companies that were founded over the past ten to thirty years. The owners are becoming of 'baby boomer' age and are looking for an exit strategy. In many cases the companies have grown beyond the ability, or desire of the owners to manage, or finance the business.

This was one of the prime considerations for acquiring a public company. With the ability to raise capital through the public markets MDBY can offer an exit strategy to many privately held companies, acquire 'spin offs' of divisions, or complete asset purchases in distress situations.

As progress is made it shall be a goal to ultimately become listed as a fully reporting Bulletin Board company as soon as possible. It is feasible that this could occur within a one year period. At this point larger multi-million dollar companies may be acquired and revenues and profits will increase accordingly.

With multiple acquisitions and continued a continued 'roll up' strategy, revenues in the range of $70 million to over $100 million may be reached. In addition to increasing revenues through acquisition and merger, the fact that the company is operating in markets and products that can sell in excess of $200,000 per unit and when a yacht project is completed unit sales can be $3 million to $15 million per unit.

Current Activities and Projects

The company continues to make progress and create value in the company. Contract manufacturing has been established for the Summit Coach division and the Stiletto fifth wheel trailer.

Initial meetings and negotiations are continuing with Recreational Vehicle dealers throughout the United States to award franchises for the Summit Coaches and increase orders. The initial response with some of the largest RV dealers in the industry has been excellent.

With the progress to date it is expected that shipments of the Stiletto will commence during the summer of 2006. Meanwhile a motorized model of the Stiletto is in the initial design stages and planned to begin development within the year. It is planned to modify the Stiletto molds to allow for combining the Stiletto with the new trucks manufactured by the automobile manufacturers such as the Chevrolet Kodiak, Freightliner, and Ford. The motorized RV's will sell in the price range of $150,000 to $400,000.

Other projects are being pursued to secure contracts for business development services. In previous years revenues in the range of $100,000 to $300,000 have been generated. This will always be a continuing activity for MDBY and it is expected that one or more projects will be secured in the next two to three months to allow for added fee income.

Negotiations and discussions are ongoing regarding acquisitions under consideration. It is expected that one or more acquisitions will be completed within the year.

Stock Performance and Activities

Over the last six months the share price of Madison Bay Holdings declined due to activities with outside consultants and other entities managing the investor relations and communications of Madison Bay Holdings. These relationships have been terminated and new appointments been made for management of investor relations.

As a result the share price of Madison Bay Holdings has increased over 200% in the past two days of trading with volume levels exceeding 2,500,000 per day. This is the result of investors realizing that the company is significantly undervalued.

Within the next week it is planned to retire some of the outstanding shares of Madison Bay to further increase the shareholder value. It is expected that the shareholder value will continue to increase as information is provided to the investment community through ongoing press releases.

About Madison Bay Holdings, Inc.

Madison Bay Holdings, Inc. is a marketer and distributor of Recreational Vehicles, Powerboats and Leisure Watercraft. The Company owns all equipment, designs and trademarks of Summit Coaches, the Recreational Vehicle (RV) division that specializes in manufacturing, marketing and selling upscale and feature-oriented RV trailers, including a flagship 38-foot RV, the 'Stiletto.' Madison Bay Holdings' marine division is involved in boutique leisure product distribution. Madison Bay Holdings also provides a variety of financial, marketing, and sales consulting services to boat manufacturers, dealers, distributors and leisure product/water sport companies.

For more information on the company and its newly appointed advisory board please visit the website http://www.madisonbayholdings.com .