Cypress Signs Forward-Flow Agreement.CYPRESS, Calif.--(BUSINESS WIRE)--Aug. 24, 1998--Cypress Financial Services The examples and perspective in this article or section may not represent a worldwide view of the subject. Please [ improve this article] or discuss the issue on the talk page. Inc. (OTC/BB:CYFS CYFS Check Your Faulty Spelling (polite form) ) has signed a 12-month forward-flow agreement to purchase fresh charged-off credit card portfolios with one of the Top 10 national credit issuers. This guarantees the company the right to make monthly purchases of portfolios at an ongoing predetermined pre·de·ter·mine v. pre·de·ter·mined, pre·de·ter·min·ing, pre·de·ter·mines v.tr. 1. To determine, decide, or establish in advance: price. The company expects to make monthly purchases with a face value between $5 and $6 million. The company is in the process of negotiating additional forward-flow agreements in the foreseeable future. With these agreements in place, Cypress would look forward to additional securitizations to occur in fiscal 1999. Farrest Hayden, chairman of the board, commented, "Once again this month, I have good news for our stockholders. On July 9th, we reported raising $3 million in equity. On August 17th, we reported a securitization Securitization The process of creating a financial instrument by combining other financial assets and then marketing them to investors. Notes: Mortgage backed securities are a perfect example of securitization. May also be spelled as "securitisation. for $2.75 million. This quarter we will report a sizable siz·a·ble also size·a·ble adj. Of considerable size; fairly large. siz  a·ble·ness n. profit from the $2.75 million securitization. Today, I am pleased to
announce that the company signed a forward-flow agreement with a major
financial institution. Our initial purchase under the agreement will
close by the end of this month. Forward-flow monthly purchases provide
the company with a consistent source of portfolio receivables for future
securitizations."Cypress Financial Services, with headquarters in Cypress for the past 21 years, is engaged in servicing delinquent debt in the credit card, commercial, retail, auto and medical industries. The company purchases, collects, manages and resells Portfolio Receivables for its own account, and collects accounts receivable accounts receivable n. the amounts of money due or owed to a business or professional by customers or clients. Generally, accounts receivable refers to the total amount due and is considered in calculating the value of a business or the business' problems in paying on contingency for third parties. The company is aggressively increasing its Portfolio Receivables operations and anticipates this portion of its business will continue to grow. Statements made in this news release, other than historical financial results, are forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. as defined by the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. These statements express the current beliefs and expectations of management regarding future results and performance, but are subject to a number of known and unknown risks that could cause actual results to differ materially from those projected or implied in forward-looking statements.
CONTACT: Cypress Financial Services Inc., Cypress
Otto Lacayo, 800/633-2668, Ext. 344
olacayo@fea.net
www.cypress1.com
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