Apr 01, 2008 8:30
AM US Eastern Timezone
Cargo Connection Logistics
Holding, Inc. Reports 2007 Year-End Results
2007 Loss From
Operations Decreases by 61 Percent
INWOOD, NY--(Marketwire
- April 1, 2008) - Cargo Connection Logistics Holding, Inc. (OTCBB:
CRGO) (BERLIN: CD6) (FRANKFURT: CD6) (FRANKFURT: 217026) today
reported its operating results for year ending December 31, 2007.
Revenues for the year were $17,212,765, a decrease of 4% compared to
revenues of $17,929,544 for the year ending December 31, 2006. The
Company also reported that its net loss from operations decreased
61% to $1,079,945 in 2007, as compared to $2,811,351 in 2006. The
Company's net loss attributable to common stockholders decreased by
74% to $1,505,847 in 2007 from $5,865,325 in 2006.
The Company's Chief Executive Officer, Jesse Dobrinsky, said, "We
made a conscious decision to eliminate unprofitable parts of our
trucking business, which ultimately led to the net 4% decrease in
overall sales after giving effect to our adding new profitable
business. The Company has replaced a good portion of the business
that we jettisoned with business that better meets the current
requirements of the Company. We have also reduced our direct
operating expenses by 5.5%, and reduced our selling, general and
administrative expenses by 20.9% from $8,441,906 in 2006 to
$6,677,192 in 2007, thus significantly reducing our net loss."
Dobrinsky further said that "The Company has made some significant
changes during 2007, which included the changing of our factoring
relationship from Accord Financial to Wells Fargo, which reduced our
factoring costs. We continued to improve the Company's financial
condition in the beginning of 2008 through the elimination of over
$1,000,000 in debt associated with an agreement which was reached on
January 11, 2008 with MP Cargo ORD, our Chicago landlord. The
Company intends to continue to aggressively seek out new business
opportunities for 2008 and to seek funding for the proposed
acquisition of Fleet Global Services, as well as other opportunities
that may be available to us."
Dobrinsky further indicated that the Company will continue to pursue
business opportunities in the international arena for the Company's
Cargo Connection Logistics-International, Inc. subsidiary ("Cargo
International"), Cargo International's revenues for the year ended
December 31, 2007, were $800,180, compared with $7,548 for the year
ended December 31, 2006, an increase of $792,632 from the previous
year due to the contracts that were entered into in April 2007.
Complete financial results can be found in the Company's most recent
10-KSB filing.
About Cargo Connection Logistics Holding, Inc.
The Company, through its subsidiaries Cargo Connection Logistics
Corp. and Cargo Connection Logistics - International, Inc., is a
leader in world trade logistics. The Company headquarters are in
Inwood, NY and it also has offices in Atlanta, GA; Chicago, IL;
Columbus, OH; and Miami, FL; and operates through agents in
Charlotte, NC, Pittsburgh, PA and in San Jose, CA.
Headquartered adjacent to JFK International Airport, the Company is
a transportation logistics provider for shipments imported into and
exported out of the United States, with service areas throughout the
United States and North America. The Company currently provides a
comprehensive variety of transportation and warehouse capacity
services to shippers throughout the nation. It also operates a
bonded General Order warehouse in New York and has Container Freight
Station operations which are specifically designed to handle
internationally arriving freight for the major retail suppliers
through its facilities in Florida, Georgia, Illinois, New York and
Ohio.
Cargo Connection Logistics' website is www.cargocon.com.
Future-Looking Statements Safe Harbor
Certain statements contained herein should be considered
"forward-looking statements" within the meaning of the Private
Securities Litigation Reform Act of 1995, which reflect the current
views of the Company with respect to the current events and
financial performance. Readers can identify these statements by
forward-looking words such as "may," "will," "expect," "intend,"
"anticipate," "believe," "estimates," "plan," "could," "should," and
"continue" or similar words. These forward-looking statements may
also use different phrases. From time to time, the Company may also
provide forward-looking statements in other material the Company
releases to the public or files with the SEC, as well as oral
forward-looking statements.
Such forward-looking statements are and will be subject to many
risks, uncertainties and factors which may cause the Company's
actual results to be materially different from any future results,
express or implied, by such forward-looking statements. Factors that
could cause the Company's actual results to differ materially from
these forward-looking statements include, but are not limited to,
the following:
-- the Company's ability to increase its revenues, including by
obtaining
contacts with foreign shippers and by acquisition of competing
businesses
such as Fleet Global Services, Inc.;
-- the Company's financial condition, including its ability to
continue
as a going concern;
-- the Company's ability to operate in compliance with the terms of
its
financing facilities (particularly the financial covenants);
-- the Company's ability to maintain adequate liquidity and produce
sufficient cash flow to meet the Company's capital expenditure
plans;
-- the number and magnitude of customers;
-- changes in, or the failure to comply with, government and
regulatory
policies;
-- the Company's ability to obtain regulatory approvals and to
maintain
approvals previously granted;
-- uncertainty relating to economic conditions generally and
particularly
affecting the markets in which the Company operates;
-- the effect of the Company being in default on its indebtedness;
-- the Company's ability to raise additional capital, including to
the
extent necessary to consummate its acquisition of Fleet Global
Services,
Inc.;
-- the Company's reliance on key personnel and independent agents;
-- the Company's vulnerability to economic and industry conditions;
-- changes in the Company's business strategy, development plans or
cost
savings plans;
-- the Company's ability to complete acquisitions or divestitures
and to
integrate any business or operation acquired;
-- the Company's ability to enter into strategic alliances or other
business relationships;
-- the Company's ability to overcome significant operating losses;
-- the frequency and severity of accidents, particularly involving
the
Company's trucking operations;
-- the Company's ability to reduce costs;
-- technological developments and changes in the industry;
-- the Company's ability to develop products and services and to
penetrate existing and new markets, and
-- changes in the competitive environment in which the Company
operates.
For Cargo Connection Logistics Holding, Inc., Inwood
Peter Nasca, 305-937-1711
pnasca@pnapr.com
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Cargo Connection Logistics Corp.
600 Bayview Ave., Inwood, NY 11096
516-239-7000 Fax 516-239-0411
Toll Free 1-800-747-0200
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Copyright © Cargo Connection Logistics Corp. All Rights Reserved.
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