Winning Brands Corporation (WNBD)

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Shareholder Question: Q1 Sales

Launch Activity

by Eric Lehner
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QUESTION
Good Morning Eric: Just wondering if we are still progressing a nice pace with sales in the first quarter. I was wondering if you could give a blog on the predicted sales for the first quarter if you have any indication of that situation.

ANSWER

Sales in Q1 are higher than the comparable period in 2011 by a healthy percentage, but not in fantasy territory. Sensible improvement. Excellent containment of expenses as well.

As for the development of increasing demand for the balance of the year, we are connecting with more stores in our core sector. The magazine advertisement below represents the first time that we will appear in the North American Hardware Retailers Association publication, “Hardware Retailer”. This publication has unsurpassed reach to our target market, with a circulation over 36,000. Ace, True Value, Orgill, Home Depot, Lowe’s, Menards, Do it Best members and management all receive it. With a regular presence in this publication and other means to become better known in our core market, 2012 will continue to see deeper penetration into our primary sector.

While it is true in a general sense that consumer advertising/marketing is required to achieve household name stature, obtaining widespread store availability is the foundation for such marketing. There are plenty of successful brands in the hardware sector that you don’t see advertised on television. As far as I am concerned, 1000+ Stain Remover should be/deserves to become available in the majority of these stores in due course. We can become a significant brand with good earnings well before that point is reached.