Printer Friendly

DIMPLES ANNOUNCES CORPORATE UPDATE

 TORONTO, May 12 /PRNewswire/ -- Dimples (OTC Bulletin Board: DPLGF; Vancouver: DDD) announces substantial initial institutional sales; direct response marketing rollout; S.E.C. Form 20-F registration statement accepted; and corporate funding completed.
 Dimples Group Inc. is pleased to report initial institutional sales and the following corporate developments.
 A. Sales and Marketing Update
 1. Institutional Sales Commence
 The Dimples Group is pleased to announce that is has secured several orders from U.S. diaper services in the United States in excess of U.S. $1,000,000 for its Dimples Deluxe Institutional Diaper calling for delivery beginning over the next several months. These initial orders evidence the commitment and support of institutional customers in the United States to Dimples Deluxe Diapers.
 In addition to these domestic orders, The Dimples Group is finalizing negotiations with two major diaper services in Australia where cloth diaper usage is in excess of 85 percent of the population. As well, the company received its first order for product from Cruz Azul Ltda. (Blue Cross Ltd.) of Santiago, Chile, a supplier of medical products to retail and institutional customers in South America.
 The Dimples Group previously announced the establishment of a co- promotion relationship with the National Association of Diaper Services ("NADS"). NADS committed to assist Dimples in developing, testing and marketing the company's all-in-one reusable diaper product to consumers through diaper services in the United States. NADS, the pre-eminent diaper service trade association, representing in excess of 200 diaper services throughout the United States, is mandated by its membership to promote the use of reusable cloth diapers. Collectively, the customers of NADS' members account for more than 90 percent of all diaper service usage in the United States. NADS' members, up until now, have marketed, virtually exclusively, a two-piece flat cloth diaper product. The Dimples Group anticipates that its relationship with NADS could lead to its largest source of revenue for fiscal 1992 and beyond.
 Doug Flatz, the president of NADS, in commenting on NADS' relationship with Dimples, stated: "The National Association of Diaper Services is very pleased to be working with The Dimples Group. Dimples' all-in-one, form-fitted, reusable cloth diaper design combines the ease-of-use of disposable diapers, along with the environmental benefit of cotton diapers. The all-in-one diaper design is the first reusable product which will truly compete with disposables."
 The Dimples Group recently attended the 23rd annual National Association of Diaper Services Convention in Chicago. Twenty-three suppliers to the National Association of Diaper Services have formed the Diaper Service Marketing Council in conjunction with NADS. The Dimples Group, a charter member of the Diaper Service Marketing Council, is supporting an industry-wide effort to promote the use of cloth diapers and all-in-one diaper products together with NADS and the Diaper Service Marketing Council.
 2. Retail Sales Update
 On the retail front, Ralphs Grocery Co. of Southern California ordered in excess of 2,500 cases of product which was featured in a week-long promotion in April. Tops Grocery Stores of Buffalo, N.Y., took delivery of more than 700 cases of product for a major promotion of Dimples Diapers. Mrs. Gooch's, a leading natural product retailer in California, also recently promoted Dimples in its Earth Day Gazette.
 3. Direct Response Marketing Program Rolls Out
 The Dimples Group previously announced the formation of Dimples Direct, a joint venture with Zoe Corp., to market The Dimples Deluxe Diaper Product Line directly to consumers throughout the United States. With research and development behind and a strategic marketing plan completed, Dimples Direct is now commencing its testing of several specific direct marketing vehicles, including television, targeted direct mail, print advertising, telemarketing, physicians office advertising, and specialty retail merchandiser advertising. This test marketing is anticipated to be completed by Sept. 30, 1993, with full-scale national roll-out scheduled to commence Oct. 1, 1993.
 Dimples Direct projects initial test market sales over the next five months, with more significant revenues to follow commencing in the fourth quarter of this year. Dimples Direct's marketing plan is primarily oriented to consumers, but it also has a secondary institutional market focus. Dimples Group Inc. anticipates that Dimples Direct will be its most significant contributor to retail sales in the long term.
 Dimples' direct marketing co-venturer, Zoe Corp., is the parent holding company of Zoetics Inc., a leading New York-based consulting and management firm focused on direct marketing development for major corporations. Zoetic's clients include: AT&T Universal Card, The Family Channel, Time Warner, Kraft General Food's Gevalia Kaffe, and Capital Holding's Direct Response Group.
 Founded by President Joel Tucciarone in 1988, Zoetics has contributed significantly to building AT&T's Universal Card into one of the leading credit card operations in the United States and making General Food's Gevalia Kaffe the top-selling brand of coffee sold exclusively through direct marketing.
 After extensive research and development work with Dimples, Zoetics believes that a significant segment of parents will be willing to switch from 100 percent dependence on disposable diapers like Pampers, Huggies and LUVS to the combination of convenience and savings offered by Dimples' technically advanced, reusable cloth diapers.
 "The combination of the current economic situation, the re- focusing of America on value (and family values in particular), plus the widespread recognition of the environmental impact of disposable diapers, makes market conditions right for the national expansion of Dimples," said Tucciarone.
 B. S.E.C. Form 20-F Registration Statement Update
 The Dimples Group previously reported that it had filed its Form 20-F Registration Statement in the United States (Commission File No. 0-20568), and related amendments responding to comments received from the U.S. Securities & Exchange Commission (the "S.E.C.").
 The company is pleased to report that effective April 26, 1993, the S.E.C. has accepted the company's Form 20-F Registration Statement. The S.E.C.'s "no comment" clearance of a company's Form 20-F Registration Statement is a pre-condition to a foreign issuer qualifying for trading on the NASDAQ System or any other recognized exchange in the United States. Legal counsel has been retained to advise the company on trading alternatives in the United States.
 C. Corporate Finance Update
 The Dimples Group previously announced by press release dated April 21, 1993, the exercise of stock options which provided the company with net proceeds of $720,000. These funds will be utilized to support the roll-out of the company's institutional and direct response sales and marketing programs, and for general working capital purposes.
 Dimples Group Inc., publicly held, is based in Toronto, Canada, with offices in Vancouver, British Columbia; San Francisco; Portland, Ore.; New York; Brownsville, Texas; and Matamoros, Mexico. The company is the manufacturer and marketer of The Dimples Deluxe Diapering System. The company's shares trade on the Vancouver Stock Exchange under the symbol "DDD" and on NASDAQ's OTC Bulletin Board under the symbol "DPLGF."
 -0- 5/12/93
 /CONTACT: J.D. Elliott, chairman & CEO of Dimples Group, 604-683-3512 or USA Toll Free, 800-667-2713/
 (DPLGF DDD.)


CO: Dimples Group Inc. ST: British Columbia IN: SU:

LS-MS -- LA035 -- 7809 05/12/93 17:52 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:May 12, 1993
Words:1168
Previous Article:THE PRESLEY COMPANIES REPORTS FIRST QUARTER RESULTS, SIGNING OF BANK AGREEMENT
Next Article:SPI PHARMACEUTICALS: SEVEN YEARS OF RECORD PERFORMANCE
Topics:


Related Articles
DIMPLES GROUP INC. ANNOUNCES UPDATE ON SALES AND MARKETING, PRODUCTION AND CORPORATE FINANCE ACTIVITIES
DIMPLES GROUP INC. ANNOUNCES PROGRESS OF SALES ORDERS AND SHIPMENTS TO ITS PHASE I MARKETS
DIMPLES GROUP ANNOUNCES CORPORATE UPDATE
DIMPLES GROUP ISSUES MARKETING UPDATE
DIMPLES FILES FORM 20-F REGISTRATION STATEMENT WITH SECURITIES & EXCHANGE COMMISSION
GPC Biotech Receives Key Permits for Monoclonal Antibody from Regulatory Authorities in Germany; Permits are Pre-Requisite for Initiating Clinical...
Optimising golf balls' size and dimples can help them fly farther.
Samajwadi party to field Mulayam's daughter-in-law.
Optimising golf balls' size and dimples can help them fly farther.

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters