posted
Getting some volune and pps increase based on news of increased contracts. News follows:
RG America Announces Gross Contracts in Progress Exceed $30 Million 2/22/06 Contracts for Gulf Coast Restoration Projects Could Increase by an Additional $8-12 Million in the Near Future
DALLAS, TX, Feb 22, 2006 (MARKET WIRE via COMTEX) --
RG America, Inc. ("RGA") (OTC BB: RGMI), a Dallas-based Insurance Restoration Company specializing in remediation, recovery, roofing and re-construction for insurance losses, announces that it is currently working on contracts with an estimated gross value in excess of $30 million. RGA believes that, in the near future, it may sign up to an additional $8-12 million in contracts currently in the pipeline. Most of the projects were signed in 2005 by RGA's subsidiary, RG Restoration, Inc. d/b/a The Restoration Group ("RG"). Financial results from this increased contract volume will continue well into 2006, mainly because the contract revenues (although signed in 2005), will be realized after each phase of the restoration process is completed. These projects historically can last anywhere from 3-8 months on average.
Sales contracts are typically valued at a dollar amount necessary to restore a project to its "pre-loss" condition or to complete a particular "phase" of the restoration process. Current contracts in progress include a mix of restoration projects for commercial properties located on the Gulf Coast in the wake of the devastating 2005 Hurricane Season. Final results for fiscal year ending 12/31/05 will be published in the near future in the company's annual 10KSB. These results will reflect earnings from completed projects from contracts signed both in 2004 and 2005.
"Overall, we are seeing increased sales volume as compared to prior periods due to our growing customer base, solid reputation and the sheer amount of work yet to be performed after last year's Hurricane Season. I don't think anyone could have anticipated the magnitude of Katrina, therefore, we recently increased capacity in nearly every area of our Company in preparation for 2005," said Michael Mayor, Vice President of Sales. "We are proud of what we have been able to accomplish in the past year. In anticipation of the coming Hurricane Season, we have realigned our divisions based on the challenges faced in 2005, to be more efficient, more responsive, and better prepared to meet our clients' needs."
About RG America:
RG America is a family of companies delivering both insurance restoration services and targeted insurance services/products. Its restoration subsidiaries specialize in remediation, insurance recovery, roofing, re-construction and project management for insurance losses. The company focuses primarily on multi-family, retail and commercial real estate properties that have experienced catastrophic losses caused by hurricane, flood, fire, wind or hail. RG Insurance Services, Inc. ("RGIS") is a full lines insurance agency. It will be the general agency for RGA's proprietary property and casualty insurance product called PropertySMART(SM), which delivers improved service and cost savings to the multi-family housing industry.
A number of statements in this press release are forward-looking statements, which are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Act of 1995. These forward-looking statements involve a number of products and technologies, competitive market conditions, successful integration of acquisitions, the ability to secure additional sources of financing, the ability to reduce operating expenses and other factors described in the Company's filings with the SEC. The actual results that the Company may achieve may differ materially from any forward-looking statements due to such risks and uncertainties.
Contact: Kevin L. Dahlberg Exec.VP (972) 919-4774 ext. 224
SOURCE: RG America, Inc.
-------------------- It is better to be thought a fool than to speak and remove all doubt.
IP: Logged |
UBBFriend: Email this page to someone!
Printer-friendly view of this topic
