ECO2 Plastics, Inc. Reports 2008 Year End Financial Results and Review of Operations.
ECO2 finished the year with an increase in full-year revenue and decreased losses. The Company rode through a significant decline in plastic prices and was able to maintain, without a decrease, the spread between buy and sell prices of the commodity. Demand for the Company's product continues to exceed supply and the opportunity for growth remains strong in the Company's primary market of recycled PET flakes.
Organizationally, the management team was expanded with the addition of Fred Janz as Senior VP of Operations and Ray Salomon in the role of CFO. Additionally, ECO2 reconfigured its Board of Directors with the addition of Tom Hutton, John Moragne, David Buzby and Alex Millar.
The Company raised over $15 million in financing rounds throughout the year and received investments from two institutions; Trident Capital Management and Peninsula Packaging. In addition to investing in the Company, Peninsula Packaging executed a long-term supply agreement with ECO2 for the purchase of recycled PET flake.
Operationally, the construction of the Company's proprietary next generation liquid carbon dioxide processing equipment was completed. The new system, along with other operating initiatives during the year, helped to reduce variable production costs per pound of production. In addition, with new equipment currently being installed in the plant, ECO2 anticipates further reduction in variable production costs throughout 2009, with the goal of achieving profitable operation.
The Company's development efforts to date have resulted in the issuance of nine US patents, with eleven additional patents in the pending state. During 2008, the firm's proprietary waterless cleaning process received approval by the FDA for use in food contact applications. ECO2 continued its development efforts with USCAR's Vehicle Recycling Partnership, researching the effectiveness of the Company's process in cleaning substances of concern from auto shredder residue. And finally, examination of commercially available recycling equipment to optimize the existing line and position the Company for expansion has been underway throughout the year.
Rod Rougelot, CEO of ECO2 Plastics stated "Although the Company has accomplished many of its goals in 2008, our continued focus must be on raising additional funds to continue to improve our processes, acquire additional equipment to support our improved processes, strengthen our balance sheet and deliver positive cash flow from operations."
About ECO2 Plastics (http://www.eco2plastics.com/)
ECO2 Plastics, (EOPI.OB), is a publicly traded company engaged in PET plastic recycling. The Company's patented process was developed through a research partnership with Honeywell FM&T and the US Department of Energy. ECO2 Plastics is the exclusive worldwide licensee of the patented and patent-pending technology. Headquartered in San Francisco, California, the Company operates a recycling plant in Riverbank, California, with another plant currently under development.
ECO2's approach sets it apart from competitors that deploy water-based recycling processes. Unlike other recyclers, ECO2's process eliminates the use of water, respects and preserves the environment, while delivering a high quality recycled plastic flake, which is approved by the FDA for use in food contact applications. ECO2 Plastics is the only recycling company that can claim that (i) its plastic recycling technology has a negligible impact on the environment and (ii) is distinguishable from existing technologies when it comes to water waste and chemical contamination.
For more information please email email@example.com or call 650-279-8619.
Cautionary Warning Regarding Forward-Looking Statements
"Forward-looking statements," as defined in the Private Securities Litigation Reform Act of 1995, may be included in this press release. These statements relate to future events and/or our future financial performance. These statements are only predictions and may differ materially from actual future events or results. ECO2 Plastics, Inc. disclaims any intention or obligation to revise any forward-looking statements whether as a result of new information, future developments or otherwise. Please refer to the documents filed by ECO2 Plastics, Inc. with the Securities and Exchange Commission, which identify important risk factors that could cause actual results to differ from those contained in forward-looking statements, including, but not limited to risks associated with our ability to (i) operate production lines with sufficient efficiency and cost effectiveness, (ii) increase revenues, (iii) obtain profitability, (iv) obtain additional financing, (v) manage changes in general economic and business conditions (including in the environmental technology and plastic recycling industries), (vi) react to actions of our competitors, (vii) develop new services and markets for our services and products, (viii) properly quantify the time and expense involved in such development activities, (ix) identify and manage risks in connection with acquisitions (x) identify and capitalize upon the level of demand for and market acceptance of our services and products and (xi) make any necessary changes to our business strategies.
CONTACT: ECO2 Plastics, Inc., +1-650-279-8619, firstname.lastname@example.org
Web Site: http://www.eco2plastics.com/
|Printer friendly Cite/link Email Feedback|
|Date:||Apr 14, 2009|
|Previous Article:||Mimosa Expands Operations Across Canada With New Sales Operations, Product Development and Customer Support Center in Response to Increasing...|
|Next Article:||Qik Partners With Cubic Telecom To Bring Low Cost Data Roaming To Users.|