SAN DIEGO, Sept. 19, 2005 (PRIMEZONE) -- Who's Your Daddy, Inc. (OTCBB:WYDY) announced today that it has signed a Letter of Intent to enter into an agreement with DLR International Investments Inc., in which DLR shall act as the exclusive WYDY independent representative in at least 18 territories in the Middle East.
This announcement follows closely the announcement that National Chain giant, Circle K, will be making room for the "King of Energy" on its shelves in the coming weeks and will begin a cross marketing promotion to roll out in the Southern States beginning with North and South Carolina. Logistics for the distribution channel are being handled by McLane Distribution.
DLR's President, Joe Nasser, has been involved in the retail industry in the Middle East for the past 15 years and represents international clients from several countries seeking to gain entry into the lucrative, yet largely untapped, Middle Eastern markets.
DLR will be designated as the exclusive independent representative throughout most of the Middle East. DLR's responsibilities will include dealing with regional manufacturers and distributors of Who's Your Daddy products.
DLR expects minimum licensing fees to exceed $8 million over the next 3 years. These licensing fees will directly impact WYDY's bottom line.
The companies are expected to enter into a final, definitive agreement no later than September 20, 2005, so that DLR may begin its marketing campaign before the holidays.
Edon Moyal, CEO of Who's Your Daddy, stated that "This is a tremendous opportunity for Who's Your Daddy to enter into the Middle East market. We believe that the time is right to introduce our licensed and branded products to be manufactured and distributed by local vendors, for which we will receive substantial licensing fees. A tremendous opportunity lies in the distribution of the Who's Your Daddy energy drink in Middle Eastern markets, as is currently taking place across the U.S. In addition to the most recent order with Circle K, we are in negotiations with several national chains that have expressed a desire to carry the Who's Your Daddy 'King of Energy' drink."
Joe Nasser, President of DLR, stated that "We are fortunate and excited to have a brand like Who's Your Daddy to represent. I've been involved in Middle Eastern markets for the past 15 years and have not been as excited or enthusiastic about a brand or a product like this before. There is a tremendous opportunity to get into the emerging energy drink market, which has been largely untapped, except for the presence of Red Bull, which has the largest market share at the moment. We will be going after that market."
About Who's Your Daddy, Inc.
Who's Your Daddy, Inc. is a publicly traded licensing company that designs and licenses a variety of products centered around the trademark-protected brand, 'Who's Your Daddy.' Who's Your Daddy, Inc. holds licensing rights to the name Who's Your Daddy for more than 300 products in the U.S., Europe, Canada, Australia and Japan. The 'Who's Your Daddy' range of product offerings are designed to appeal to young men, women and sports fans who strive for "style with authority." Who's Your Daddy, Inc. is traded under the WYDY stock ticker.
This material includes forward-looking statements based on management's current reasonable business expectations. In this document, the words "can," "anticipates," and similar expressions identify certain forward-looking statements. These statements are made in reliance on the Private Securities Litigation Reform Act, Section 27A of the Securities Act of 1933, as amended. There are numerous risks and uncertainties that could result in actual results differing materially from expected outcomes. The material should be read in conjunction with the company's current annual and quarterly reports filed with the SEC, which contain discussions of currently known factors that could significantly impact the company's future.