SOURCE: Relm Holdings Inc.

February 12, 2010 11:59 ET

RELM Holdings Inc. Announces Fiscal Year 2009 Financial Results

WILMINGTON, DE--(Marketwire - February 12, 2010) - RELM Holdings Inc. (PINKSHEETS: RELM) announced financial results for fiscal year 2009 ended December 31, 2009. The company posted revenue of $1.97 million or $0.003 per diluted share. These results compare to revenue of $ 2.13 million or $0.003 per diluted share for fiscal year 2008.

"We are pleased with our fiscal 2009 results. Although revenue was down, we surpassed our EBITDA estimates with total EBITDA reaching $ 225,346," said Marc Greenberg, RELM's EVP. "We weathered a challenging business climate and a difficult government contracting period. Access Versalign, a RELM subsidiary, derives a majority of its revenue from the State of Delaware and Fortune 1000 corporate contracts and both groups were significantly impacted by the economic downturn resulting in deferred or curtailed Information Technology projects. We saw some revenue erosion, but most projects were merely delayed due to the budgeting process. Our outlook has stabilized, but macroeconomic risks still remain," continued Greenberg.

RELM remains committed to the Information Technology acquisitions announce in 2009. RELM must raise the funds necessary to close the transactions through the liquidation of Public Stock in an affiliate or external financing. Due the limited liquidity in the PCSO stock, RELM has been actively seeking external financing, but the well publicized lending contraction has impacted our ability to secure external funding. The acquisitions would be additive to RELM's profitability, but failure to close the acquisitions will not impact RELM's on-going financial performance.

Access Versalign is expanding its Computer Recycling and Information Security offerings. Demand for "Green" recycling options is increasing and Access Versalign is seeing an increased opportunity in its offerings for these services. "We are investing in multiple technologies within the Secure Data Destruction space," said Greenberg. "We see the most growth within this segment and the highest barriers of entry for our competition in order to meet our clients' strictest criteria."

SAFE HARBOR

This press release contains forward-looking statements including without limitation those about the Company's estimated revenue and earnings per share. These statements involve risks and uncertainties, and actual results may differ. Risks and uncertainties include without limitation the effect of competitive and economic factors, and the Company's reaction to those factors, on consumer and business buying decisions with respect to the Company's products and services; continued competitive pressures in the marketplace; the ability of the Company to deliver to the marketplace and stimulate customer demand for new products, services, and technological innovations on a timely basis; the continued availability on acceptable terms, or at all, of certain components and services essential to the Company's business currently obtained by the Company from sole or limited sources; the effect that product and service quality problems could have on the Company's sales and operating profits; the continued service and availability of key executives and employees; war, terrorism, public health issues, and other circumstances that could disrupt supply, delivery, or demand of products and services; and unfavorable results of other legal proceedings.

Contact Information