|
|
|||||||||||||||||||||||||||||||
|
 |
|
November 17, 2003
Central European Distribution Corporation Completes its Tenth Strategic Acquisition in Poland Sarasota, Florida: Central European Distribution Corporation, today announced that it has completed its tenth acquisition with the purchase of Multi-Ex Sp. z o.o., a strategic alcohol beverage distributor in Kalisz, Poland. Multi-Ex is projected to have net sales of approximately $60 million in 2003. CEDC acquired 100% of the shares of Multi-Ex Sp. z o.o. for approximately $1.45 million. Cash paid was $1.25 million and approximately $200,000 was paid in shares of CEDC common stock. The Company is also assuming $1.2 million of working capital debt. The shares of CEDC common stock issued to the owner of Multi-Ex Sp. z o.o. will be subject to a one year lock-up period. William Carey, President and CEO of CEDC, said, "We are pleased to add Multi-Ex Sp. z o.o. to the CEDC group. We are raising our full year 2003 net sales guidance to $423-$428 million. Due to the necessity to fully integrate Multi-Ex operations into the CEDC group, which is expected to be completed at the end of this year, we are keeping earnings per share at $1.48-$1.51 for full year 2003. The acquisition is expected to be accretive to 2004 earnings by $0.08-$0.10 per share." Mr. Carey continued, "Multi-Ex was our second largest competitor in Poland with a strong client base of small to medium retail outlets. The addition of Multi-Ex will expand our vodka market share to approximately thirty percent. With this acquisition, we have moved closer to our goal of attaining a forty percent share of the Polish spirit market within the next 12-14 months." As previously mentioned, the Company will announce full year 2004 projections when legislation for the proposed corporate tax reduction from 27% to 19% due to take effect January 1, 2004, is signed into law, which is expected to be signed before the end of the year. CEDC is one of the leading importers of beers, wines and spirits, as well as the largest distributor of domestic vodka on a nationwide basis in Poland. The Company operates 52 regional distribution centers in major urban areas throughout Poland. It distributes many of the world's leading brands, including brands such as Johnnie Walker Scotch, Stock Brandy, Jose Cuervo Tequila, Sutter Home, Torres, Mondavi and Concha y Toro wines, Corona, Beck's, Foster's, Budweiser Budvar and Guinness Stout beers. Contact: This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties that may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by forward-looking statements. Investors are cautioned that forward-looking statements are not guarantees of future performance and that undue reliance should not be placed on such statements. The Company undertakes no obligation to publicly update or revise any forward-looking statements or to make any other forward-looking statements, whether as a result of new information, future events or otherwise unless required to do so by the securities laws. Investors are referred to the full discussion of risks and uncertainties associated with forward-looking statements included in the Company's Form 10-K for the fiscal year ended December 31, 2001, and other periodic reports filed with the Securities and Exchange Commission. |
||||||||||||||||||||||||||||
|
|
||||||||||||||||||||||||||||||
