Press Release Source: Spongetech Delivery Systems, Inc.
Spongetech Signs Letter of Intent to Sell 1,500,000 Biodegradable Car Wash and Car Wax Sponges to South America Monday April 30, 6:00 am ET Management Experiencing Continued Record Order Demand
NEW YORK--(BUSINESS WIRE)--Spongetech Delivery Systems, Inc. (OTCBB: SPNG - News) is pleased to announce they have signed a Letter of Intent (LOI) to sell 1,500,000 Car Wash and Car Wax sponges to exporter, SA Trading Group Corp. SA Trading Group is an exporter of automotive products to South America. All terms of the LOI are subject to SA Trading Groups approval of translating the products packaging in Spanish and Portuguese as well as establishing a factory in South America within three years. The company anticipates distribution and sales of the cutting-edge biodegradable sponges to reach Central America and the Caribbean Islands. Source: Spongetech Delivery Systems, Inc.
· Biodegradable All-In-One Car Wash and Car Wax Sponge (Photo: Business Wire). View Multimedia Gallery
Steven Moskowitz, Chief Financial Officer of Spongetech Delivery Systems stated "This is an exciting time for our company. We look forward to finalizing our agreement with SA Trading Group Corp and beginning our sales and distribution into South America." Mr. Moskowitz further stated "We continue to receive strong global interest and demand for our biodegradable Car Wash and Car Wax Sponges. Our sponges eliminate the use of a bucket and allows customers the ability to wash and wax eight or more cars."
The companies' specially configured sponges contain an outer contact layer and an inner matrix. Within this inner matrix of the sponge contains specially formulated soaps and wax. When the sponge is applied to a surface with minimal pressure, the soap or soap and wax are simultaneously applied to the surface. When the sponge is not in use, the hydrophilic matrix holds the soap so that it does not leak out of the sponge. This no leak system allows each sponge to wash as many as eight cars.
For more information please contact Investor Relations at (973) 351-3868 for Stephen Taylor or visit the company website at: www.spongetech.com.
About Spongetech Delivery Systems
Spongetech Delivery Systems is a development stage company which designs, produces, markets and distributes cleaning products for vehicular use utilizing patented technology relating to sponges containing hydrophilic (liquid absorbing) foam polyurethane matrices. The Company's sponges are specially configured with an outer contact layer and an inner matrix, which is loaded with specially formulated soaps and wax that are released when the sponge is applied to a surface with minimal pressure. The Company's products are currently designed specifically for vehicular cleaning use. However, the Company is exploring the possibility of using its patented technology for the development of sponges for other uses, including for use with anti-bacterial, bath and kitchen soaps for household uses, as well as for use as a children's bath foam sponge.
Safe Harbor Statement Under The Private Securities Litigation Reform Act of 1995: The statements in the press release that relate to the company's expectations with regard to the future impact on the company's results from new products in development are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The results anticipated by any or all of these forward-looking statements may not occur. Additional risks and uncertainties are set forth in the Company's Annual Report on Form 10-KSB for the year ended December 31, 2005, the Company's Quarterly Report on Form 10-QSB for the first quarter ended March 31, 2006. The Company undertakes no obligation to publicly release the result of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof, or to reflect the occurrence of unanticipated events or changes in the Company's plans or expectations.