PHOENIX, June 29, 2005 (PRIMEZONE) -- Home Warranty Services of America, Inc. (Pink Sheets:HWSV), a Nevada Corporation, is capitalizing on the rapid growth of the home warranty market. HWSA has positioned itself to leverage a unique relationship with a national mortgage partner to sell home warranties and an established regional contractor to service them. Traditionally, the go-to-market strategy of a home warranty company is to develop relationships with Realtors and Title companies who then suggest to their clients a suitable home warranty provider. While this is a well-developed sales channel and one HWSA will compete successfully in, it is not our only one. Our mortgage partner provides an exclusive sales channel to their thousands of customers during the mortgage process and clearly differentiates HWSA from just any home warranty company.
Another distinct and crucial advantage HWSA offers to our consumers over our competitors is our established service fleet. Other home warranty companies are generally insurance agencies who must sub-contract local repair companies to respond to customer warranty calls. This can be a frustrating experience not only for the customer but also for the sub-contractor as calls are prioritized and routed from sometimes the other side of the country! Our operating partner, Hernandez Companies, has operated in the Phoenix market since 1975 and is a licensed, full service contractor who has the resources to repair any problem our customers might have. Their experience and exemplary record in this market ensures HWSA has the know-how and operational infrastructure to exceed our customer's expectations.
HWSA will supplement our organic growth strategies with home service type acquisitions that will enhance our product offerings, add to our customer base, and provide further growth opportunities. HWSA will continue to realize strong growth as these relationships mature and our market share grows. Using our successful operations in Phoenix as a blueprint, HWSA will look quickly to expand into Colorado, New Mexico, Texas, Florida, and California where our licensing model is already permitted. As other states change their regulations, we will be actively analyzing their markets and pursuing viable opportunities.
Visit Hernandez at: www.hernandezcompanies.com Visit Home Services of America at: www.homeservicesofamerica.com
Safe Harbor statement under the Private Securities Litigation Reform Act of 1995: Except for historical information contained herein, the matters discussed in this press release are forward-looking statements that involve risks and uncertainties, including but not limited to economic, competitive, governmental and technological factors effecting the company's operations, markets, products and prices and other factors discussed in the company's various filings with the Securities and Exchange Commission.