LOS ANGELES, Aug. 30, 2004 (PRIMEZONE) -- Warning Model Management Inc. (OTCBB:WNMI) today announced that it has entered into an escrow agreement with Berryman & Henigar Enterprises, current owner of ESI (Employment Systems, Inc.), a California corporation, for Warning's acquisition of ESI. Warning has deposited into escrow the portion of the purchase price payable at closing.
Pursuant to the terms of the Escrow Agreement, Warning will have 15 days to complete its due diligence investigation of ESI and conclude the ESI acquisition. Berryman & Henigar, established in 1975, provides municipal management consulting, civil engineering, land surveying, public finance, building safety, asset management, and program and construction management to public agencies.
ESI provides staffing services and business processing services to municipalities and small businesses principally in Southern California.
On an annualized basis, management estimates the revenue contribution from ESI to be $12 million. "We are certainly very pleased to have the letter of intent in hand and moving forward with the acquisition," said Brian Bonar, Warning's Chairman and CEO. "ESI is expected to provide to us a significant increase in revenues and profits," said Bonar. "We have been aggressively seeking a company like ESI and are very pleased to have found ESI, as they are a perfect fit," he added. This acquisition enables Warning to enter the staffing business as part of its strategic plan.
About Warning Model Management, Inc.
Warning Model Management, Inc. (OTCBB:WNMI), headquartered in Los Angeles, California, was founded in 1998 and is a full-service model and talent agency. The focus of Warning Model Management is to develop and supply both male and female models, for a variety of assignments, including, but not limited to fashion editorials, product catalogues, personal appearances, newspaper, advertisements, posters, websites, billboards, bus sides, look books and many other media outlets. The company also provides models and actors for all forms of Television and Film work as well as industrial videos. Warning Photography represents some of the world's top photographers. They shoot assignments for magazines and advertising as well as movie posters, album covers and billboards. Warning Management currently manages the endorsements and product licensing of a select group of high profile celebrities.
Brian Bonar has been Chairman of Warning Model Management since February, 2004 and is also chairman of two other publicly traded companies, Dalrada Financial Corporation (OTCBB:DRDF) located in San Diego, which provides a variety of professional services related to human resources to businesses, and Quik Pix, Inc. (Pink Sheets:QPIX), a leading visual marketing support firm located in Buena Park, California.
Statements in this press release that are not historical facts are forward-looking statements, including statements regarding future revenues and sales projections, plans for future financing, the ability to meet operational milestones, marketing arrangements and plans, and shipments to and regulatory approvals in international markets. Such statements reflect management's current views, are based on certain assumptions and involve risks and uncertainties. Actual results, events, or performance may differ materially from the above forward-looking statements due to a number of important factors, and will be dependent upon a variety of factors, including, but not limited to, our ability to obtain additional financing that will allow us to continue our current and future operations and whether demand for our products and services in domestic and international markets will continue to expand. The Company undertakes no obligation to publicly update these forward-looking statements to reflect events or circumstances that occur after the date hereof or to reflect any change in the Company's expectations with regard to these forward-looking statements or the occurrence of unanticipated events. Factors that may impact the Company's success are more fully disclosed in the Company's most recent public filings with the U.S. Securities and Exchange Commission ("SEC"), including its annual report on Form 10-K for the year ended Dec. 31, 2002, and its subsequent filings with the SEC.