JACKSONVILLE, Fla., March 6, 2008 (PRIME NEWSWIRE) -- Mariner's Choice International Inc. (Pink Sheets:MCII) CEO Amie Hingston issued a letter to shareholders recapping the activities and developments of 2007 and outlining elements of its growth strategy for 2008.
Dear Fellow Mariner's Choice Shareholders,
As the Company progresses through the first quarter of the 2008 fiscal year, I find myself reflecting on the past nine months -- a period accented by significant Company milestones -- since Mariner's Choice Corp became a public entity through a reverse merger in early June of 2007. As much as that singular event changed aspects of our business, many things have remained unchanged, such as our unyielding commitment to developing the highest quality eco-safe products available and our resolve to follow our long-term plan for growth of the Mariner's Choice brand in the recreational and industrial marine market and beyond.
Mariner's Choice has held true-to-form since its inception as a producer and distributor of a diverse line-up of multi-faceted eco-safe products for the marine industry. Simply put, we offer price-competitive high performance eco-safe products that compete and surpass mainstream products in terms of performance, quality, value and minimal environmental impact. We offer a more complete and broad product mix than any other brand focused on the marine markets -- one of our major competitive differentiators -- as we feature eco-safe products for decks, surfaces, infrastructure such as holding tanks, bilge pumps, engines, as well as other marine and mainstream equipment.
The majority of 2007 was spent focusing on our core competencies, namely our ability to respond to market demands and developing advanced products that can be leveraged across various vertical market applications, as well as refining the methodology of our go-to-market strategies. As expected, these efforts began to yield fruit by the end of 2007, but more importantly have provided a solid foundation on which to build a sustainable and successful business going forward. With our edifice firmly in place and sales traction increasing, we expect 2008 will provide Mariner's Choice with dramatic growth over 2007 and far greater return on investment.
Mariner's Choice's existing and future success will largely be predicated on the Company's 'three pillars of growth': A.) Distribution Relationships; B.) Retail Adoption; and C.) Private Label Opportunities -- pillars that were defined, refined and successfully employed in 2007. Each has begun to provide significant revenue streams, and more importantly, have set the frameworks for success that can be replicated going forward.
The following is only a sampling of key successes we have experienced in each of the 'three pillars of growth':
Distribution Relationships:
We have secured agreements with The Coast Distribution System, Lorenz & Jones Marine Distributors, Byfield Marine Supply, Kimpex and Get e-Zone. The Coast Distribution System is one of the largest marine and RV product and accessories distributors in North America. Lorenz & Jones is one of the most significant marine distribution operations in the upper Mid-West with recent forays into the Canadian market. More importantly, this distributor services the Great Lakes Region, which collectively represents in excess of in excess of 25% of the recreational marine market. Byfield Marine has a significant presence in the Gulf Coast of the US from Florida to Texas in both the recreational and industrial marine segments. Kimpex is one the top three marine and RV product and accessories distributors in Canada. Finally, Get e-Zone is one of the largest multi-product line distributors throughout the Caribbean. We have secured positions in nearly all of the aforementioned distributors' catalogs, which will assist significantly in building our brand equity going forward.
The concept of harnessing distributors is often difficult, however, these distributors have seen and bought into the value proposition offered by our product line. We are in the process of providing product knowledge training to these distributors' sales forces, effectively extending our sales force by significant multiples.
Retail Adoption:
Boater's World, the second largest marine retailer in North America is now carrying our products in their stores, catalog and online e-store. Stevenston's Marine in Canada has also accepted our product line into all of their retail operations. We continue to forge ahead with leveraging these relationships and building a greater retail presence with others such as, Bass Pro Shops, Gander Mountain, and West Marine to mention a few. Boater's World will positively impact the exposure of the Mariner's Choice brand, and help to create awareness of the quality of our products, the effects will be carried through to the marinas that are being serviced by our distributor network. Customers will recognize the brand, and marinas will benefit by being compliant with increasing EPA (Environmental Protection Agency) regulations. The retail effort will take two to three years to attain our target of 3-5% market share in the marine retail segment.
Private Label Opportunities:
We have signed three private label contracts in non-marine markets. Delivery has already begun, and there are three more contracts to be penned during the first half of 2008. Most importantly, we have identified and continue to identify private label opportunities in non-marine markets that are in need of our technologies to effectively cater to the needs of their respective markets with high performance products. Our ability to respond to these customers' needs with our product development and manufacturing capabilities allows us to continue to build on this revenue stream, and reach many market sectors with similar challenges as the marine market. This pillar will allow for a significant revenue stream to effectively grow Mariner's Choice.
Our success to date has been achieved as a result of our strategy to initially outsource a portion of our sales operations and production capacity. These efforts have allowed us to control costs, utilize outside operational scale and expertise, access installed customer bases and employ just-in-time inventory capabilities while expanding our reach in both marine and non-marine markets. We have utilized manufacturers' representatives at Rhode Island-based ComMar Sales and California-based Hoffman Sports to augment our internal sales force in order to effectively cover a larger territory and harness the value of their existing relationships and network of customers. We work closely with our reps to coordinate efforts and maximize our potential and will continue to utilize these relationships to expand our distribution in 2008 and beyond.
The global "green" movement -- in lock step with the EPA's ongoing initiatives -- is helping to create a "tailwind" for the company as we proceed with our plan to develop, manufacture and market eco-safe yet superior products and build our brand in the process. It is our environmentally conscious mandate and superior eco-safe products that differentiate us from our competitors, align us with the best interests of the world-at-large and by extension, all consumers and help us extend our brand reach into other market verticals outside the marine industry. As a result, our corporate and product positioning is already having far reaching implications for our business as we are receiving significant interest from Europe and other parts of the world, as everyone looks to do their part in reducing "save the planet". In fact, by the end of 2008, we expect to achieve greater representation in the Caribbean, South and Central America, Europe and Asia. This is an indication of the timeliness of our eco-safe technologies and the pervasiveness of the global "green" movement.
With these successes going into 2008, we will see a significant revenue growth to support further expansion by reinvesting in the business. We will organically grow the company, as well as, through complementary acquisitions, and as such, we will continue to seek appropriate companies that have existing distribution networks with proven revenue streams. It is also our intention to eventually become a reporting public entity to raise the company's profile once the added expense can be incurred in a fiscally responsible manner.
We appreciate your support to date, and hope that you will continue to remain with Mariner's Choice as we forge ahead to build a business on promoting environmental responsibility, and creating shareholder value.
Sincerely,
Amie Hingston, President & CEO
Mariner's Choice International Inc.
About Mariner's Choice International, Inc.
Mariner's Choice provides high-performance and eco-safe recreational and industrial solutions to the marine industry utilizing leading edge biodegradable technologies. Mariner's Choice products reduce the cost of ownership, operations, and maintenance of marine assets. Each product is tested to exacting standards and performance levels of excellence, while providing the greatest benefit and satisfaction to the recreational and industrial customer. Mariner's Choice "green" products and nano-technology is a timely response to the environmental and health concerns that affect people globally. For more information on the Company, please visit on the Internet at http://www.marinerschoice.net
Safe Harbor
This press release contains statements, which may constitute "forward-looking statements" within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. Those statements include statements regarding the intent, belief or current expectations of Mariner's Choice International, Inc., and members of its management as well as the assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements. Important factors currently known to management that could cause actual results to differ materially from those in forward-statements include fluctuation of operating results, the ability to compete successfully and the ability to complete before-mentioned transactions. The company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results.