Printer Friendly


 BOCA RATON, Fla., Dec. 2 /PRNewswire/ -- Modami Services, Inc. (NASDAQ: MDMI) headquartered here, announced today that the board of directors has exercised its option and has acquired 51 percent of the common stock of Optical Express, Inc. an Ocala, Fla., based retail optical chain providing total family vision care.
 The Modami option exercise was made after several months of due diligence and involvement with Optical Express under a master lease agreement which included $225,000 for the expansion of additional locations in the Birmingham, Ala., area. The option to acquire 51 percent was a swap of debt for equity which Kravitz said was a major coup for Modami.
 "Consumers' demand for one-stop shopping is the driving force behind this acquisition," stated Paul B. Kravitz, Modami president. "Modami intends to market optical services to the same customers who now purchase our yogurt product and our AppleTree(R) private label products and in the same location -- the retail grocery stores -- because that's where the customer traffic volume is. The way in which people are buying eye wear will change in the near future, and upscale supermarkets are becoming more and more like 'min-malls' for the basic products and services we all need. A few years ago, banks began establishing branch offices in supermarkets and that trend is increasing because of the convenience. We see the same trend for optical goods." He said that, "Modami already has expressions of commitment and interest from several grocery store chains."
 Optical Express is a pink-sheet traded, non-reporting public company which operates eight vision centers in Central Florida and three locations in suburban Birmingham, Ala. The company had revenues as of Dec. 31, 1992 of $1,910,433. Through Sept. 30, 1993, the company had revenues of $1,302,119, an increase of 10 percent over the previous period. Management attributed the gain to its more ambitious advertising and marketing strategies since being involved with Modami.
 Modami recently expanded its retail grocery sales and marketing capacity with the acquisition in September of United States Trades & Marketing (U.S.T.& M.), which operates as a wholly owned subsidiary. U.S.T.&M. is a Houston, Texas based broker of grocery products and the owner of the AppleTree brand private label products. U.S.T.&M. marketed product is available in some 1,700 grocery stores in the Southeast and Southwest. U.S.T.&M. has been instrumental in launching Modami's Fresh 'n Easy(TM) frozen soft serve yogurt and its Upcharge program in convenience stores and fast-food chains in Texas. Modami plans to utilize U.S.T.&M. to spearhead the Optical Express expansion into supermarkets.
 According to Dr. R.E. Williams and Ronald White, respectively, the chairman and president of Optical Express, the optical shoppes within a supermarket environment will provide every product and service, except for eye examinations. A typical Optical Express outlet in a supermarket will measure approximately from 400 to 600 square feet, display about 700 frames (including better quality sunglasses) and provide exceptional customer convenience.
 -0- 12/2/93
 /CONTACT: Paul Kravitz, president, COO and CFO of Modami Services, 407-995-0605; Ira Weingarten of Equity Communications, 805-897- 1880, for Modami Services/

CO: Modami Services, Inc.; Optical Express, Inc. ST: Florida IN: FOD REA SU: TNM

JB-SS -- FL012 -- 9825 12/02/93 12:36 EST
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:Dec 2, 1993

Terms of use | Copyright © 2017 Farlex, Inc. | Feedback | For webmasters