FORT LAUDERDALE, Fla., March 14, 2012 (GLOBE NEWSWIRE) -- Brownie's Marine Group, Inc. (OTCBB:BWMG), a leading developer, manufacturer and distributor of highly specialized dive and safety products, today released the following company update from its Chairman and CEO, Robert Carmichael:
"During 2011, we focused on cost-structure reductions, enhancing product value, targeting new product launches, and refining our top-dealer support focus. While the economic recession presented unprecedented challenges to every company in our industries, we continued focusing on product development and execution of our vertical and horizontal integration plans with the goal of sustainable profitability in the years ahead.
In 2011 we continued to streamline operations, simplified processes and controlled working capital while investing strategically in innovative products and programs. We pursued strategies specifically designed to re-capture lost market share and optimize profitability in depressed economic conditions.
The introduction of both the most advanced surface-supplied dive system in the world (VS series of variable speed diving systems) and the price category leader, Brownie's F285-BE Third Lung hookah diving system, simultaneously assisted our brand position and signaled a return to prominence in the Surface Supplied Air industry. Our improved and active web site helped increase online and retail purchases in geographic areas where we lacked dealers, while social media programs helped build relationships with influential enthusiasts.
We believe that outdoor recreation markets have begun to stabilize, yet remain significantly below pre-recession levels. We will continue to emphasize working capital management and supply chain optimization as well as focused product development and the initiation of our plan to open company owned retail centers in strategic locations (Brownie Adventure Centers) to capitalize on the mass shift in consumer trends.
While the outdoor recreation industry is on the road to recovery, the economic recession has had a lasting impact on the marketplace. Consumers are more demanding and discerning with increasingly higher price/value expectations. We believe, traditional "SCUBA" stores focused on a single, narrow market channel are highly vulnerable when compared to our multi-sport concept store: Brownie's Adventure Centers.
Brownie's Adventure Centers (BAC) will attract outdoor enthusiasts from a much wider range of the general population. Single niche market retailers are limited in their profit center potential. The variety of sports and activities available at a BAC demand professional guidance, training and mentorship; a resource not easily found in any "Big Box" outlet, but very difficult to subsidize in a single product store such as a "SCUBA" or "SUP" (Stand Up Paddleboard) center. The initial concept BAC in Boca Raton, Florida will feature all types of industry leading dive equipment, training, activity coordination, and services along-side a world class SUP compliment. Free-diving, Surface Supplied Diving, Yacht-Diving, Technical Diving, Science and Exploration Diving equipment, training and practice are rarely featured at traditional "dive shops" but will be optimally presented in the BAC creating a much broader potential revenue base. By expanding the audience of outdoor enthusiasts, such as paddle boarders, we will have the opportunity to introduce our core products (surface supplied air) to a new and broader audience.
While the "SCUBA" industry struggles over a diminished market space, we will continue to innovate our historically gasoline powered product line of surface supplied air systems into a powerful new sport category device. Our vision is for the Brownie to do for diving what the snowboard did for snow skiing – bringing a new generation of enthusiasts into the sport. We believe that the vast majority of the population is aware of SCUBA diving and have made the decision whether or not to participate in it. Ultimately, Surface Supplied Diving is easier, safer, less intimidating, and more fun for shallow depth diving in a purely recreational mindset. Our goal is to create the ultimate product, training and exposure venue that will tap this emerging market space.
In conclusion, focused, disciplined execution of our strategic plan is essential to reach profitable growth in what will be another challenging year. We will continue to carefully manage inventories, keep working capital in check and implement the vertical integration strategy during 2012."
About Brownie's Marine Group, Inc.
Brownie's Marine Group, Inc. and its wholly owned subsidiary, Trebor Industries, Inc., d/b/a Brownie's Third Lung, based in Fort Lauderdale, Florida designs, tests, manufactures and distributes recreational hookah diving, yacht based scuba air compressor and Nitrox Generation Systems, and scuba and water safety products. The Company sells its products both on a wholesale and retail basis and is comprised of three highly specialized dive product groups. The Company is an industry leading manufacturing and distribution company that serves middle income boat owners, higher income yacht owners, recreational divers, military operators and public safety personnel. The Company holds more than ten patents and enjoys a robust product development and intellectual property program that has yielded several proprietary products. Many of these products and innovations have become the "standard" for the marine industry. The Company is known for its meticulous devotion to detail, high quality production and design ingenuity. In the boating and diving community, Brownie's is known as the market leader when it comes to surface supplied "Third Lung" dive systems and Scuba Tankfill Systems for yacht-based diving. Brownie's products and support service divers at all levels of the underwater world, from shallow-water dive systems to deep-water mixed gas support systems for exploration divers and submariners.
In 2010, Brownie's introduced the first in a series of patent-pending Variable Speed Battery Powered Third Lung (hookah diving) devices engineered to conserve energy while delivering performance to the diver.
Forward-Looking Statements:
Except for statements of historical fact, the matters discussed in this press release are forward-looking. "Forward-looking statements" describe future expectations, plans, results, or strategies and are generally preceded by words such as "future," "plan" or "planned," "expects," or "projected." These forward-looking statements reflect numerous assumptions and involve a variety of risks and uncertainties, many of which are beyond the company's control that may cause actual results to differ materially from stated expectations. These risk factors include, among others, limited operating history, difficulty in identifying and marketing products, intense competition and additional risks factors as discussed in reports filed by the company with the Securities and Exchange Commission, which are available at http://www.sec.gov.
For more about Brownie's, www.browniesmarinegroup.com.
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