I found this strange. SpongeTech received a purchase order in January 2008 for sponges that do not have delivery requirements until July 2008. Is the lead time on shipments really 7 months?
SpongeTech Receives $2,385,000 in New Orders for the New Pet Sponges and New... - Auto News from January 29, 2008
NEW YORK, Jan. 29 /PRNewswire-FirstCall/ -- SpongeTech Delivery Systems, Inc. today announced they received an order last Friday for $2,385,000. That's 270,000 units for the new Children's and Pet Sponges. The pet sponge is a no tears, tangle-free shampoo for pets that leaves a lustrous sheen. The children's sponge is a no tears bath wash called the "Puddle Pals Children's Sponge."
The first 12,000 units of "Puddle Pals Children's Sponge" are scheduled for delivery July 25, 2008, with an additional 12,000 units per month for the next two months, for a total of 36,000 units. The Pet Sponges' first 68,000 units are scheduled for delivery September 15, 2008, with another 68,000 units on October 15, 2008, and a balance of 98,000 units on November 15, 2008, for a total of 234,000 units.
The company has had many calls and e-mails about the 'back orders' and when the company is going to fill them. The company does not have 'back orders.' They have orders with scheduled fill times and pending deliveries, like you see above, the orders are filled on a pre-determined schedule so the distributors and retailers are not 'sitting' on product and they determine when they want it. The orders are then shipped as scheduled.
Steven Moskowitz SpongeTech COO said, "I am pleased to see the new products finally hit the market place, and I expect new products sales will continue to grow over the next few months. We are working on new products with new companies, and we will update the shareholders as we move forward. As shareholders, we are all happy with the new product roll-outs!! We are now a three product company."
For more information please contact Investor Relations at 1-877-SPONGE T for Bill Young or visit the company website at: www.spongetech.com.
