NEW YORK, NY -- (Marketwire) -- 05/30/12 -- COREwafer Industries, Inc. (PINKSHEETS: WAFR) reports that the company has filed its first quarter 2012 unaudited financial statements with OTC Markets. Copies of these documents can be obtained from www.otcmarkets.com, or for additional information please visit the WAFR website at http://www.wafr.co
Operations:
We finished the first quarter of 2012 with 2011 with a net loss that can be directly attributed to an increase in operating and reorganization expenses in the first quarter following completion of the acquisition of North East Expedite Logistics (NEEL). We are expecting to return to profitability as we increase the capacity of NEEL above its current operating capacity.
The company will be utilizing a portion of the $10M in secured financing to increase the operating capacity of NEEL. Each additional truck we add to the company increases the revenue by $25,000 monthly. We have a projection of adding ten (10) additional trucks this year, resulting in an increase of revenue by approximately $250,000 monthly, or $9 million over the following 36 months.
Even though profit margins within NEEL continue to feel pressure due to the cost of fuel, insurance, and transportation surcharges, the company has taken steps to reduce cost by partnering with local fuel companies and payment vendors with reduced transaction fees. NEEL has begun relocating its trucking insurance coverage to the state of Florida, resulting in less costs and more coverage as the company increases scope of operations.
Financials of Core Wafer Systems are not included in the Q1 2012 financials due to timing related to the legal closing of the acquisition. Additional funding of production & distribution of Core Wafer's new parallel processing system will be provided by the exponential increase in NEEL revenues and through an additional portion of the $10M secured financing only if necessary. Initial demonstrations have proven successful, and we look forward to delivery against purchase LOIs with the world's leading hard drive manufacturers.
As part of the name and symbol change from APII to WAFR, COREwafer Industries has relocated its corporate registration from the state of Florida to the state of Nevada, resulting in long term benefits to the corporation. Additionally, we are finalizing the selection of an auditor to complete the full audit of our financials and will announce our selection to the marketplace. Fully audited financials are an important step for the company as we work toward full disclosure to shareholders. The filing of the S-1 and moving up to a higher exchange is an important upcoming milestone we hope to achieve in 2012.
The company has also published new corporate web sites and contact information so that we can begin our social media campaign to introduce our technology to millions of investors.
Company Web Site: http://www.wafr.co
Company Twitter: @Corewafer
Company Facebook page: http://www.facebook.com/corewafer
Commentary:
Teresa McWilliams, CFO for COREwafer Industries, Inc., states, "I believe that we have fully integrated NEEL into our financials, and upon the full integration and funding of Core Wafer Systems, we will begin to return to profitability and pay down old debt. NEEL has a very solid growth formula, and as we continue to operate in an environment where there is more business than capacity to handle it.
With the name change to COREwafer Industries and the ticker symbol WAFR, we have now moved beyond the past of Action Products International and into the future as a newly branded company."
About COREwafer Industries, Inc.
COREwafer Industries, Inc. (PINKSHEETS: WAFR) is the parent company of North East Expedite Logistics, a Transportation company; and Core Wafer Systems, Inc., a technology leader with their propriety parallel measurement schema for physical phenomena of semiconductor structures. Additional company information can be obtained on the company website at: http://www.wafr.co
Please refer all shareholder inquiries to Corewafer Investor Relations via Twitter @Corewafer, via Facebook http://www.facebook.com/corewafer, or by emailing info@wafr.co
Safe Harbor Statement
This press release contains forward-looking statements. These forward-looking statements are based on the current plans and expectations of management and are subject to a number of uncertainties and risks that could significantly affect the company's current plans and expectations, as well as its future results of operations and financial condition. Such risks include, but are not limited to, the effects of competition with existing enterprises and/or new entrants into the company's markets and industries, fluctuations in currency exchange rates, domestic and global economic conditions generally, the company's ability to obtain financing and attract suitable personnel where required to fully implement its business plan, the adoption and acceptance by the marketplace of the company's technologies and product and service offerings, the possibility of new technologies that are competitive with the company's planned product and service offerings and the effects of future political and economic developments both in the United States and abroad, among others. The company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of information, future events or otherwise.
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