Latest Deal Emboldens Sales Projection Estimates of 1 Million Units Over Three Year Term
AUSTIN, TX — (Marketwire) — 03/16/09 — Ronn Motor Company, Inc. (RMC) (PINKSHEETS: RNNM) announced today that the Company has recently signed an Agreement with Frigette for the manufacturing and distribution of RMC’s proprietary H2GO(TM) Real-Time Hydrogen Injection System. The Agreement was formally signed during the MACS convention held recently in Dallas, Tx.
Under the terms of the agreement, RMC would receive a royalty for each device sold through Frigette. The Ronn Motor Company business plan projects 1,000,000 units sold in the U.S. market alone over the next three years, reflecting 1/2 of one percent penetration among domestic vehicles. These sales could potentially yield over $100,000,000 in top-line revenue for Ronn Motors.
Frigette is the largest aftermarket supplier of automotive a/c systems, a/c parts, including many Original Equipment vehicle manufacturers such as General Motors, Ford, Honda, Isuzu, Jaguar, Mazda, Nissan, and Subaru, and has been awarded the coveted “Q1 Supplier Award” by Ford Motor Company and the “First Team Supplier Award” by Nissan Motors of America. They also supply products to thirty-nine (39) OEM Recreational Vehicle manufacturers. Frigette quality control standards have been approved by Chrysler Motors, Ford Motor Company, General Motors, Honda, Hyundai, Isuzu, Jaguar, Mazda, Nissan, Saturn, Subaru, GAZ, VAZ, and Volvo.
To meet the demand and market expectations, and to emphasize the importance of their entry into the environmentally friendly, alternative energy industry, Frigette has announced that they are forming a new division. This new division, Frigette Energy Systems, is being specifically created for the distribution of the H2GO(TM) system and other Ronn Motor Company products that are currently on the drawing board. Frigette Energy Systems plans to be in full production with the H2GO(TM) system by the end of May 2009.
Phillip Kreymer, Director of Marketing for Frigette, stated, “With more than 300,000 potential retail outlets already using Frigette products, for the H2GO(TM) system in the U.S. alone, as well as the significant number of worldwide requests we have received since the global unveiling of H2GO(TM) at SEMA last November, we are very comfortable with our projections of one million units over three years.”
Ronn Maxwell, CEO of Ronn Motor Company, commented, “We couldn’t be more pleased with this partnership. Frigette is recognized as a leader in the automotive industry and their manufacturing and distribution network is a perfect match for Ronn Motor Company and its H2GO(TM) system, providing H2GO(TM) an immediate global footprint for both sales and support. As we embark on our journey to market share, I believe that this seminal deal will be seen as the Company’s major breakthrough.”
Mr. Maxwell continued, “Our newly formed partnership is set to bring this technology to the forefront and we believe that offering the H2GO(TM) system to the general market will have an immediate, significant and positive financial impact on both companies as well as delivering on our mission to reduce dependence on foreign oil, to improve gas mileage, to clean up the environment, and to get in line with the new Obama administration’s desire for change.”
Robert Kreymer, President of Frigette, said, “The current worldwide economic downturn has had an adverse effect on most of our customers. The addition the H2GO(TM) system will provide them with a great opportunity to expand and grow their business by offering an eco-friendly, energy efficient product whose sales should flourish, even in this economy. H2GO(TM) will breathe new life into many of these shops. By delivering a superior quality product, unparalleled tech support, a global foot print and a pricing strategy with the installed price around $1,000 we expect to be the leader in this burgeoning category.”
Headquartered in Horseshoe Bay, Texas, Ronn Motor Company, Inc. is a design and manufacturing company focused on the leading edge engineering of environmentally friendly, finely built premium automobiles and technology. These systems include Hydrogen Fuel, Fuel cells, and Plug in-electrics. These features, coupled with RMC’s core values of a strong sense of ethics, environmental sensitivity and premium quality, positions the Company as one of the new leaders in an automotive industry transitioning toward fuel efficiency. For more information, please visit www.ronnmotors.com.
This release contains forward-looking statements that reflect Ronn Motors plans and expectations. In this press release and related comments by Company management, words like “expect,” “anticipate,” “estimate,” “forecast,” “objective,” “plan,” “goal” and similar expressions are used to identify forward-looking statements, representing management’s current judgment and expectations about possible future events. Management believes these forward-looking statements and the judgments upon which they are based to be reasonable, but they are not guarantees of future performance and involve numerous known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, performance, achievements or financial position to be materially different from any future results, performance, achievements or financial position expressed or implied by these forward-looking statements.
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