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VOLUME
04: ISSUE 9
Trading
Alert: Xtreme Companies - Catches fire. Really.
I
think you'd agree that the incredibly brave men and women who keep us safe
must have the absolute best equipment at the best cost.
Xtreme
Companies Inc (OTCBB:
XTME) produces a unique and cost-effective range (press release
attached) of rapid deployment support watercraft that allows law enforcement
and fire/rescue personnel to respond instantly and effectively to a national
disaster or security issue.
The Stanton, California-based company's
lineup of 12-15 foot specialized, high performance vessels can be quickly
deployed from an SUV trailer, a moorage or even airlifted in by helicopter.
As well as patrol capable boats, Xtreme's watercraft can be specifically
produced to act as a pumper conduits to augment fire fighting on shore
and/or be used as standalone water based fire fighters.
Besides, they go really fast (50
mph-plus), can turn 360 degrees within their own footprint and look really,
really neat.
Risk-oriented investors should
begin accumulation of Xtreme shares at the 55-70 cent level based on significant
deal prospects that we believe will appear over the next 12 months.
Salient points:
Xtreme trades at 55 cents with 9.1 million
shares outstanding for a market cap of $5 million
Targeting under-serviced professional
and military markets for 12-15 foot, state of the art, patrol and firefighting
watercraft
Corporate plans to conclude sales, initially,
of a minimum of 1 boat a month for projected first year sales of $1 million-plus
Highly focused sales effort to Police/Fire/Military
and other Homeland Security-related groups
High profile recent sale of 2 craft
to NY and New Jersey Port Authorities providing both proof of concept and
product validation as well as increased visibility.
Past purchasers include US Marine Corp,
Pales Verdes Police and Cooperstown NY Fire Dept.
Growing number of incoming inquiries
and interest from potential clients; local, national and international.
Lack of any meaningful direct competition:
other boats available tend to be too large, too expensive or inappropriate
for specialized fire/rescue/patrol duties.
Probably the most important part of
keeping the Homeland secure is rapid response from our First Reponders;
Military, Fire, Police and Medical personnel. To do it effectively and
keep us safe, they need the best equipment.
Powering
into a large market
Xtreme has found a market in the
safety/security sector that is significantly underserved. At an average
cost of around $100 thousand per boat--an extremely competitive price--
Xtreme has tapped into that market by developing extremely cost-effective
patrol and fireboats precisely suited to both small and large responder
groups.
Xtreme is virtually the only company
in its space that produces mission specific high performance watercraft
directly for its target markets. By taking this approach, Xtreme can offer
products with exacting specifications directly appropriate to the important
tasks its customers require and do so at an extremely competitive price
point.
By way of comparison, competitors
to Xtreme tend to simply outfit or retrofit personal watercraft to suit
customers' needs.
CAVEAT: Investors should trade
Xtreme stock strategically due to the low number of shares outstanding.
Gapping in both directions is possible as the company appears on more investors'
radar screens.
In the current environment, many
potential terrorist targets, such as dams, power plants and coastal installations
require specialized patrol and fire fighting ability. The Bush Administration
doubled the annual Homeland Security budget to $38 billion to ensure that
local and national groups have access to the funds necessary to equip their
departments with the tools both for deterrence and rapid disaster response.
Xtreme does it all.
Xtreme will continue to design and
augment its product line with support craft of varying length and specifications.
The company has the ability to outfit boats to address a client's specific
needs, be it for civilian or military patrol, firefighting or a combination
of both.
We believe that the superior watercrafts
that Xtreme produces will quickly be sought out by the international, national
and local departments that are best suited to their use, resulting in significant
sales to the company.
As well as profits to those risk-oriented
shareholders who recognize the enormous potential of the growing homeland
and international security sectors that make up this exciting young company's
markets.
PRESS RELEASE
Xtreme Companies Announces Sale
Of Fire-Rescue Jet Boat to Anglesea Fire Company No. 1
Stanton, CA -- Feb 6 /
PrimeZone Newswire / Xtreme Companies, Inc. (OTC Bulletin Board: XTME
- News) announced today that it sold a model FRJ-1250 Fire-Rescue
Jet Boat to Anglesea Volunteer Fire Company No. 1 in North Wildwood, New
Jersey. The expected delivery date is March 2004.
Eric Shenkus, President,
Anglesea Volunteer Fire Company No. 1 commented, "Xtreme Companies' FRJ-1250
has proven its weight over the last couple of years in the neighboring
town of Stone Harbor, NJ. The boat meets all of our needs especially in
ocean rescue, around marina developments and has excellent fire fighting
capabilities."
Xtreme CEO Kevin Ryan
stated, "The FRJ-1250 continues to perform at high levels for past purchasers
and that optimum performance was the basis for this opportunity with Anglesea
Volunteer Fire Company No.1." He added, "In addition, since the sale and
delivery of two FRJ-1250's to the Port Authority of New York and New Jersey
in the last quarter of 2003, the response and number of inquires from other
potential customers has been very encouraging."
The FRJ-1250 is ideal
for shallow water rescues, pier fires, shore fires, or structure fires
near the water. It is remarkably maneuverable, turning quickly in
its own footprint, and it operates at higher speeds than other currently
available fireboats. Its maneuverability and performance generates highly
desirable rapid response time, and it can also be used to fill the water
tanks of traditional fire trucks near a shoreline. The boat can hold up
to five firefighters at a time. With its individually powered Hale
pump capable of delivering approximately 750 gallons per minute, a distance
of approximately 120 feet, it can accomplish extensive firefighting results
in difficult surroundings, both ashore and with other watercraft.
The boat is small enough that it can be moved easily on a trailer behind
an SUV. One firefighter can easily deploy, operate, and recover the
boat. It can also be equipped with a specialized foam dispensing
system for chemical fires.
About Xtreme Companies,
Inc.
Xtreme Companies, Inc.
manufactures and markets mission specific high performance boats to fire,
rescue, law enforcement, military, and government agencies. For additional
information about Xtreme Companies, Inc. please visit www.xtremecos.com.
The Company's public financial information and filings can be viewed at
www.sec.gov.
Forward Looking Statements
This release contains
forward-looking statements, including, without limitation, statements concerning
our business and possible or assumed future results of operations. Our
actual results could differ materially from those anticipated in the forward-looking
statements for many reasons including: our ability to continue as a going
concern, adverse economic changes affecting markets we serve; competition
in our markets and industry segments; our timing and the profitability
of entering new markets; greater than expected
costs, customer acceptance of our products or difficulties related to our
integration of the businesses we may acquire; and other risks
and uncertainties as
may be detailed from time to time in our public announcements
and SEC filings. Although we believe the expectations reflected in
the forward-looking statements are reasonable, they relate only to events
as of the date on which the statements are made, and our future results,
levels of activity, performance or achievements may not meet these expectations.
We do not intend to update any of the forward-looking
statements after the date of this document to conform these statements
to actual results or to changes in our
expectations, except as required by law.
Contact: Michael Novielli
- Chairman
phone: (203) 791-3838
mnovielli@xtremecos.com
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