Wyncrest Group, Inc. (WNCG)

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Huge news for WNCG!

Wyncrest Group's Strategic Acquisition to Raise Earned Fees by $5 Million

CHICAGO, Sept 21, 2009 /PRNewswire-FirstCall via COMTEX/ -- The Wyncrest Group, Inc. (Pink Sheets: WNCG) today announced that it expects commissions earned from the sales of insurance and other financial products by its Dallas-based realtor and financial services target acquisition will be $5 million in 2009. During 2008, it generated gross premium sales of $15 million, resulting in $100,000 of EBITDA. Keith Lanzara, President of Wyncrest, commented, "We believe this piece of the puzzle complements our existing business lines well, and further helps to broaden our geographical and product offering diversity with the addition of nearly two dozen new sales representatives to our team."
About Wyncrest Group
The Wyncrest Group is a publicly traded company based in Chicago, Illinois, which provides insurance products and services through its Southwest Financial Group subsidiary (SFG) and Wyncrest Offshore Services. SFG has been in business for 21 years, has 18,000 clients, and sells through 85 representatives nationwide. During 2008, approximately $22 million in total insurance policy sales were generated resulting is $1.1 million of commission revenues. WNCG plans to continue to grow SFG through discounted acquisitions of competing agencies and applying its IT advantage with a U.S. patent pending automated business method for managing the acquired client books to improve policy renewal retention and up-selling. The company expects that this strategy will reduce cost of sales by half compared to traditional origination methods.
WNCG is also in negotiations with several acquisition targets developed over an ongoing two-year campaign to find distressed agencies and consolidate contract assets under one lower cost platform. Through its Wyncrest Offshore Services Division, the Company is expanding into the growing offshore insurance and reinsurance market by offering a variety of services and products, including a liability program for helicopter flight training schools and non-owner helicopter pilots, and a line of Warranty Service Policies operating as a controlled foreign corporation. Royalty income is expected from licensing insurance products patented under a new category of business methods, a strategy taken only by a few in a new class of small innovative insurance companies leading the industry.
This Press Release may contain certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. WNCG has tried, whenever possible, to identify these forward-looking statements using words such as "anticipates", "believes", "estimates", "expects", "plans", "intends", "potential" and similar expressions. These statements reflect WNCG's current beliefs and are based upon information currently available to it.
Accordingly, such forward looking statements involve known and unknown risks, uncertainties and other factors which could cause WNCG's actual results, performance or achievements to differ materially from those expressed in or implied by such statements. WNCG undertakes no obligation to update or advise in the event of any change, addition or alteration to the information catered in this Press Release including such forward-looking statements.
Wyncrest Group, Inc.
9654 West 131st Street, Suite 215 Palos Park, IL 60464
www.wyncrestgroupinc.com

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SOURCE Wyncrest Group, Inc.
URL: http://www.wyncrestgroupinc.com
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