News - Acquisition|
The Source Information Management Company Agrees to Acquire Canadian Rebate Company
ST. LOUIS--(BUSINESS WIRE)--Dec. 29, 1998--The Source Information Management Company (NASD:SORC) today announced that it has entered into a letter of intent to add Promark's business to Source's Canadian business.
Promark, a Toronto-based magazine rebate company, currently services the majority of retail companies in Canada not currently serviced by the Source. The Source has agreed to pay $1.25 million Canadian for all the assets and assume specified liabilities of Promark. Promark currently has approximately $800,000 Canadian in annual revenues. "This acquisition will compliment our operation in Canada which heretofore has been marginally profitable. The combined operations will now have approximately $1.2 million Canadian in revenues and are anticipated to be accretive to earnings.
This acquisition will now give us the critical mass to introduce SourcePro, our front-end management program, and ICN, our internet communication program, to the majority of retailers in Canada," said S. Leslie Flegel, Chairman of the Source. The acquisition is expected to close in early January 1999.
The Source Information Management Company provides front-end rebate collection and information services to approximately 825 retailers in the United States and Canada via nine offices throughout the continent........
SAFE HARBOR STATEMENT:
The information contained in this release includes statements regarding matters which are not historical facts (including statements regarding the plans, beliefs or expectations of The Source Information Management Company) which are forward-looking statements.......
CONTACT: The Source Information Management Company, St. Louis
W. Brian Rodgers