Anyone watching MBAH? Seems like a great time to get in. Current PPS is .137. I picked up some shares at .13 today. This has been a fantastic player in the past for me.Press Release Source: MBA Holdings Inc.
MBA Holdings Sets Agenda for 2005
Monday January 3, 9:21 am ET
SCOTTSDALE, Ariz.--(BUSINESS WIRE)--Jan. 3, 2005--MBA Holdings Inc. (OTCBB: MBAH - News) enters 2005 having established the foundation for its new subsidiary, the National Motorcycle Dealers Association (NMDA), which is anticipated to contribute heavily to the company's goal of achieving profitability and rapid growth during the current fiscal year. The NMDA is entering a transitional phase from formation and partnership deals to membership growth and marketing outreach. Additional income-producing programs and partnerships with nationally recognized corporations are due to be announced in January and February. Each negotiation nearing finalization has necessarily required waiting until after the holidays to be completed.
We value our shareholders and wish to address how and when current company activities will potentially impact revenue prospects for the company in 2005. The NMDA's pending market reach and revenue growth will be most significant as seasonal motorcycle sales and usage increases in the Spring, but additional programs the company is pushing to launch in Winter 2005 are capable of healthy earnings in the fiscal year second quarter ending in April 2005.
MBA Holdings & Warranty Programs
The company is actively negotiating deals that can produce major revenues for MBA Holdings and which are entirely independent of NMDA-specific programs. Any perception that MBA Holdings' prospects and the value of the MBAH equity are strictly dependent on the level of success the NMDA achieves is inaccurate. While the company is confident the NMDA will have a long and prosperous life as a precedent-setting industry association, MBA Holdings fully intends to ramp up its traditional core auto, motorcycle and recreational vehicle warranty business to achieve significantly higher revenues.
Presently being negotiated is a lucrative cross-promotional program with one of the largest auto service center chains in the United States. An exclusive agreement to grant a extended warranty to each auto oil change customer could generate up to hundreds of thousands of unique commissions per month and net millions in high-margin MBA revenue dollars per year. The nature of such an agreement is long-term due to its aim of producing repeat service center business from clients renewing their promotional warranty coverage. If the company is successful in launching an oil change/warranty program soon, it can contribute significantly to improving MBA's bottom line in early 2005.
Motorcycle Leasing
A significant revenue opportunity for the NMDA presently in final negotiations is an exclusive contract with a market-leading auto and fleet leasing company for the NMDA to market motorcycle leases nationwide. Motorcycle leasing remains a largely untapped market sector with high income potential and to date has required the participation of a major corporate backer to build a nationwide presence in motorcycle leasing. NMDA membership would be required to participate in this program and gain access to premium leasing opportunities. The leasing program is expected to drive both membership and revenue growth significantly. The leasing program is one of the primary income drivers capable of producing a rapid return for MBA Holdings in early 2005.
NMDA Canada
Plans are underway to bring the NMDA to Canada. The company is in negotiations with a motorcycle-centric marketing agent group that would be responsible for membership recruitment and sales of NMDA programs and MBA products in Canada. These discussions actively include plans to pursue motorcycle rentals in Canada with the potential participation of premium custom bike manufacturers seeking access to Canadian markets. The majority of existing and pending NMDA program partners meet all regulatory requirements and are fully licensed to do business in Canada. The NMDA has arranged to attend the prestigious International Motorcycle Super Show in Toronto from Jan. 7-9 to further extend market awareness of the NMDA and secure additional partnership opportunities in the Canadian territories.
Pending Programs & NMDA Initiatives
Motorcycle Financing & Floor Planning -- The NMDA is awaiting approval to announce this widely recognized finance leader seeking to significantly expand its market reach into the motorcycle market.
Motorcycle/Automobile Liability Insurance -- The NMDA anticipates a soon to be authorized announcement of one of the leading brand names in the insurance industry.
Motorcycle Auctions -- The NMDA is finalizing terms to be the exclusive agent for motorcycle sales with a leading vehicle auctioneer operating close a dozen auction locations nationwide.
Open Lot & Garage Liability Insurance -- The NMDA is in final negotiations to secure this coveted insurance coverage for members with the acknowledged leader in this market segment.
NMDA Membership Growth -- The NMDA currently adds approximately five new members each business day while pursuing mass sign ups via leveraged agreements with industry related partners. One such pending deal would include the partner company soliciting membership from their dealer membership of approximately 400 members. The NMDA will issue specific membership growth figures in early 2005.
Motorcycle Rentals -- Additional Blue Sky locations are being prepared and marketing of Wildside rental operations continues. Seasonal markets will open up rental expansion opportunities as the year progresses, but growth goals continue to be successfully acted upon.
NMDA & MBA Agents -- The hands on work of in-the-field marketing of NMDA programs and MBA products to dealerships is slated to be handled by MBA's existing 40 agent network, partner agents and by individual sign ups of acknowledged high production agents with motorcycle industry-specific experience. The company just signed a highly respected agent with the proven ability to deliver high volume contracts for NMDA programs and for motorcycle leases in particular. Signups of this and other key agents may be announced in the future.
2005 Goals
MBA Holdings is very excited to enter 2005 with a new outlook and renewed promise. We are convinced the market opportunity the NMDA is acting upon is largely unprecedented in scope and income potential compared to prior commercial associations servicing the vehicular industries. The ability of the NMDA, combined with plans to revamp MBA's core warranty business, to make MBA Holdings squarely profitable and growing in 2005 is a vision shared by many of our shareholders and we have made it our mission to reward them for their support.
We have reasonable expectations that profitability will be achieved and rapidly built upon in fiscal year 2005. The business model going forward should produce a decisive shift into profitability, projections of which cannot be predicated upon prior or imminent filings, but are expected to be demonstrated by those soon after. Once the company achieves the goal of profitability, we feel the NMDA and other programs can grow the revenue base by multiples and allow us to pursue our ultimate goal of the stock MBA Holdings being listed on a major trading exchange.
NMDA
http://www.nmda.us
MBA Holdings
http://www.mbadirect.com
Contact:
MBA Holdings Inc., Scottsdale
Gaylen Brotherson, 480-860-2288, ext. 317
Source: MBA Holdings Inc.