Extreme Motorsports of California (EMOC)

[luvtradin1]

Repost: regarding the finance company

As most know I have been working with the company for several months as I have mentioned in the past. I am now free to release the following information.

I have been instrumental in introducing Xtreme to the trailer company mentioned in previous press releases. The two companies are currently working together to form a strategic alliance which will benefit both tremendously.

I have also introduced Xtreme to the principal of an inactive equipment leasing and financing company. The company, Leasco Equipment Partners, Inc. was formed in 1992 and has conducted hundreds of millions of dollars in equipment financing in many different applications. This is the New York State listing currently for the company.

http://appsext8.dos.state.ny.us/corp_public/CORPSEARCH.ENTITY_INFORMATION?p_nameid=1752034&p_cor...

The company became inactive in the latter part of 1999 when the principal decided to pursue other venture opportunities. After negotiations, the principal has decided to reactivate the company and enter into a Letter Of Intent with Xtreme Motorsports.

The principal has negotiated a sale of the company to Xtreme Motorsports while simultaneously filing to reactivate the company and convert it to Southern Offroad Vehicle Services, LLC, a New York Limited Liability Corporation. This process may take several weeks as it entails the work of accountants and attorneys in bringing all the filings up to date.

This company was instrumental in changing the landscape of equipment leasing in its time. Leasco innovated the first commercial boiler leasing program in conjunction with the Brooklyn Union Gas company. Leasco had an exclusive contract to assist with the financing of Brooklyn Union Gas Company customers switching from oil to natural gas. That program funded over $300 million in its first year of operations. Six other natural gas utility companies in the Northeast approached Leasco to duplicate the program in their specific markets.

Leasco designed the first cross border international equipment lease transactions. In conjunction with the London office of Security Pacific Bank, Leasco designed a wraparound lease structure which enabled U.S. investors to own large mainframe computers and sublease them on short term operating leases to local end users in England, France, Belgium and Germany. The unique structure designed by Leasco eliminated all currency fluctuation risks and provided the investors with substantial tax and economic benefits. In its first year of operations this structure funded over $250 million in equipment.


Other highlights include the establishment of financial relationships with the best of breed lenders including GE Capital, European American Bank, Bank Leumi, Citibank and many others. Leasco enjoyed the opportunity presented to a multi-faceted equipment finance company operating on national and international levels.

The primary purpose of going in this direction was to be able to reactivate the former funding relationships that Leasco enjoyed for so many years. The principal has already begun the work necessary to provide the financial tools needed to address the rapid growth curve that Xtreme Motorsports is experiencing.

The principal of what is now to be Southern Offroad Vehicle Services, LLC entered into the letter of intent with the full confidence that the fifteen million shares (ten million restricted) will provide him with more than ample financial gains as time goes by. He is convinced, as am I, that Xtreme Motorsports has the potential to grow into a billion dollar company down the road. The deal was negotiated to provide enough cash to cover the costs of reactivating the old company, filing the name change and converting it to LLC status. The real benefit in the principal's opinion is the stock. The principal will remain active with Southern Offroad Vehicle Services, LLC after the sale is consummated and will provide long term managerial services in return for commissions for each financing to be performed.

The offroad sandcar industry while quite established is in some people's opinion at the very beginning of the growth potential that may lie ahead. Some people have offered the idea that offroading may be the next craze such as NASCAR or better.

The following financial resources have been negotiated and put in place:

1. 100% financing for consumers who wish to acquire sandcars with an introductory rate of 8.3% per annum. This facility provides a credit line to the consumer who can then fund the necessary deposits therefore relieving Xtreme Motorsports of the financial burden of financing the construction of vehicles. This program will be offered to all approved dealers and distributors.

2. Traditional lease financing for those buyers who wish to acquire the cars through their business and take full advantage of the generous tax benefits inherent in corporate lease transactions. This program will be offered to all approved dealers and distributors.

3. A $14 million revolving inventory finance facility which extends the ability for Xtreme Motorsports to offer financing to all qualified dealers and distributors. This will be a profit center for Xtreme Motorsports as well as a financial tool to permit its main customers, namely dealers and distributors, to offer unlimited sales opportunities to their clients. The participating dealers and distributors that are accepted into this program will no longer have to be restrained by their own financial limitations but instead can write as many orders as they please.

Most importantly, this facility will address the inventory financing needs of offshore dealers and distributors as well as the domestic ones. Xtreme Motorsports is in the process of establishing dealers and distributors in various countries around the world. This facility will provide the necessary funding to assist the overseas dealers and distributors and enable them to increase their sales.


Southern Offroad Vehicle Services, LLC will play a vital part in the growth of Xtreme Motorsports. After all anyone can get all the orders for products they want, but if you cannot finance the inventory you've got nothing.

I hope this will be of some help for those who have been curious about this company. I am certain that Alan will continue to release significant events as they occur.

LT