SEATTLE, Sept. 26, 2005 (PRIMEZONE) -- Madison Bay Holdings, Inc. (Pink Sheets:MDBY), a marketer and distributor of Recreational Vehicles, Powerboats and Leisure Watercraft, announced today that the Company has acquired a 20% stake in Exosphere Aircraft Company, Inc., a producer of light-sport aircrafts, including the very popular "Express" model, manufactured by Express Aircraft Company, a subsidiary of Exosphere.
The Company plans to assist Exosphere in establishing a nationwide distribution network for its light-sport aircrafts based on management's experience in building dealer networks for other types of recreational vehicles and leisure products. Madison Bay Holdings will be entitled to designated percentages of all revenues earned by Exosphere based on the specific product or airplane part being sold.
Recent modifications in regulations regarding the sport pilot license and light-sport certification have made recreational flying much more affordable to the general public. Furthermore, these regulation changes have opened up the aircraft industry for manufacturers of small aircrafts who have been hampered for years by the lack of an appropriate regulatory path when producing ready-to-fly aircrafts.
Ricardo Ruelos, Madison Bay Holdings' Chief Executive Officer, commented, "Due to a recent change in regulations, the light-sport aircraft industry is poised for a very large sales surge in the coming years. We are pleased to acquire a stake in Exosphere allowing Madison Bay to venture into this industry. With this agreement, Madison Bay will diversify its revenue streams while also utilizing management's expertise in establishing and increasing distribution networks for recreational vehicles."
To view recent regulation changes in the aviation industry, visit www.eaa.org.
About Madison Bay Holdings, Inc.
Madison Bay Holdings, Inc. is in the recreational vehicle and leisure product industry. The Company owns all equipment, designs and trademarks of Summit Coaches, the Recreational Vehicle (RV) division that specializes in manufacturing, marketing and selling upscale and feature-oriented RV trailers, including a flagship 38-foot RV, the "Stiletto". Madison Bay Holdings' marine division is involved in boutique leisure product distribution and owns the rights to distribute Warlock Power Boats throughout the United States and Canada. Madison Bay Holdings also provides a variety of financial, marketing, and sales consulting services to boat manufacturers, dealers, distributors, and leisure product/water sport companies.
For more information on the company and its newly appointed advisory board please visit the website www.madisonbayholdings.com.
Safe Harbor statement under the private Securities Litigation reform Act of 1995
This news release contains forward-looking statements, including statements regarding the Company's expectations about successfully selling its products and about the positive effects of the acquisition described herein. Such forward-looking statements involve known and unknown risks, uncertainties, and other factors that may cause actual results to differ materially from future results expressed or implied in such statements. These risks and uncertainties include the inability to manage expected growth, the failure to realize the increased revenues and improved operating margins that the Company has associated with sales of our products, the loss of any key personnel, our inability to introduce new products that are accepted by the market, the loss or non-performance of our sales representatives, unfavorable results of potential litigation, and the possibility that competitors could develop or acquire technology that could erode the Company's technical advantages. The Company disclaims any obligation to update any such factors or to announce publicly the results of any revisions to any of the forward-looking statements contained in this news release.