CHOWCHILLA, Calif. Dec. 17, 2003 (PRIMEZONE) -- Global Diversified Industries, Inc. (OTCBB:GDVI), focused on the modular building industry with emphasis on the education market, is pleased to announce its wholly owned subsidiaries, Global Modular, Inc. and MBS Construction, Inc., have secured a new financing facility with lending capacity worth $2.5 million. The financing was secured through a Southern California lending institution and will be primarily used for working capital, sales and marketing efforts and plant improvements.
Phil Hamilton, Global Diversified Industries Chairman and Chief Executive Officer, commented: "We are pleased to secure this new credit line as it will assist us with our fast-track growth forecast, and help meet customer requirements anticipated for early 2004." Hamilton adds: "The timing of this new credit facility suits our business model, since it provides our modular divisions with resources to execute their winter marketing campaigns along with providing in-house engineering department the resources to improve product designs."
The Company believes that 2004 will bring increased demands for modular-type products and services, since schools continue to receive monies from previously passed bonds. Also, the second measure to Proposition 47 (Kindergarten through University Public Education Facilities Bond Act of 2002) expected to be approved by California voters in March 2004, will provide an additional $12.3 billion dollars in bond monies for California school districts. As earlier reported by the legislative analyst's office, approximately one of every three kindergarten to 12th grade students attends a campus that is overcrowded or needs renovation. As state data reveals, California will need up to 46,000 new classrooms in the next five years -- more than 1,100 new schools -- to accommodate rising enrollment and deteriorating facilities.
"Global Diversified Industries will take every measure to strategically position itself to make the education sector aware of our presence and to react effectively when these opportunities arise," Mr. Hamilton said.
About Global Diversified Industries, Inc.
Global Diversified Industries, Inc. is a holding company controlling two wholly owned subsidiaries.