Urecoats Industries, Inc., a technology-driven sales, marketing and product development company, has received shareholder approval for the proposed one-for-ten reverse stock split of its common stock and the reduction of its authorized common stock capitalization limit from 140 million to 25 million shares.
Shareholders at the company's annual meeting also voted to elect seven directors including Richard J. Kurtz (61), Timothy M. Kardok (45), Arthur J. Gregg (74), Steven Mendelow (59), Jerold L. Zaro (50), Mark A. Reichenbaum (51) and Stephen L. Green (63). Reichenbaum and Green are new directors, bringing Urecoat's current Board membership to seven.
All other proposals also were approved by shareholders.
Commenting on the announcement, Tim Kardok, chief executive officer of Urecoats, said, "We are extremely pleased that our share consolidation plan has been approved by shareholders. As of now, it is a whole new ballgame!"
"Our new capital structure is better suited to enable us to obtain a listing on the American Stock Exchange. In addition, we expect to be more attractive to institutional investors and the public in general," Kardok continued.
The company noted that during its annual meeting, it provided shareholders with the first glimpse of Urecoats' anticipated growth for the second quarter and full year of 2002. During its presentation to shareholders, Urecoats noted that it expects to generate second quarter 2002 revenues of $1.8 million and 2002 annual revenues of $10.5 million.
"We are currently ramping up our operations in the Northeast and solidifying our position in the Southeast market," Kardok said. "Given the existing demand and increasing interest in our products, as well as the growth prospects for our Bradco distribution partnership, we are confident we can meet these ambitious performance goals in the upcoming quarters and ultimately achieve a break even cash flow position in 2003."
Source: Urecoats Industries, Inc.
