SOURCE: Artfest International, Inc.

April 20, 2009 09:01 ET

Artfest International, Inc. Issues Shareholder Update

DALLAS, TX--(Marketwire - April 20, 2009) - Artfest International, Inc. (OTCBB: ARTI) updates its shareholders regarding business activities and prospective plans.

Acquisition of Charity Sports Distributor, Inc.

After committing with a letter of intent to acquire CSD (Charity Sports Distributor, Inc.) in February 2009, management's objectives involve securing the best financing options available, in benefiting the company and its shareholders. Intended to immediately expand and directly enhance Artfest's current product offerings, management believes that CSD's thirteen years of experience in the professional and college sports market will assist Artfest in significant revenue growth. CSD holds exclusive agreements with hundreds of private charities and over forty professional and college teams, which can be viewed at www.csdsportsframing.com, www.csdmemorabilia.com and www.homegameauction.com.

Acquisition of a recording studio and its facilities.

Negotiations involving financial arrangements to acquire a 35,000-square-foot facility, located in Dallas, TX, are being aggressively approached. The studio and its facilities were constructed to handle the specific requirements of top recording artists, as well as major film, television and commercial needs of Fortune 500 corporations and their entertainment divisions. Upon completion, Artfest will be capable of executing multiple pending contracts with major names in the music and entertainment industries.

Business strategy involving roll-up.

Management has targeted a potential acquisition candidate with the intent of increasing value in Artfest's television and media division. Under terms of the non-disclosure agreement, signed upon preliminary discussions between the company and the party's top executives, Artfest is unauthorized to release information revealing specific terms, figures, or otherwise names relevant to this negotiation. Artfest management believes that this private party will bring the company impressive value through their operations and multi-million-dollar revenue streams.

Share Structure.

Current share structure count, including issued and outstanding stock, is offered to all shareholders and interested parties via Island Stock Transfer. The company would like to clarify that recent increase in shares issued and outstanding is due to the conversion of promissory notes dated July 2008, issued to former insiders. Details are available in the annual (10-K) filing.

In addition, management and the Board of Directors have been reviewing a potential stock re-purchase program. In lieu of finalizing several key acquisitions, management believes that the company's stock is highly undervalued and misrepresents Artfest's worth. The company believes this incentive will help increase market valuation as well as attract new and long term investors. The Board of Directors is currently reviewing arrangements to this stock re-purchase program, including a joint cooperation with accredited parties.

About Artfest International, Inc.

Artfest International, Inc. is a publicly traded Company under the stock symbol "ARTI." Artfest brings together artists, investors, decorators, designers, private collectors and art galleries. Artfest International's corporate site is www.artfestinternational.com. Artfest's subsidiaries are Art Channel, Inc., www.artchannel.tv, and Art Channel Galleries, Inc., www.ArtChannelGalleries.com, offering the most exciting product and rewards program in the history of direct sales marketing.

Safe Harbor Statement -- This release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 27E of the Securities Act of 1934. Statements contained in this release that are not historical facts may be deemed to be forward-looking statements. Investors are cautioned that forward-looking statements are inherently uncertain. Actual performance and results may differ materially from that projected or suggested herein due to certain risks and uncertainties including, without limitation, ability to obtain financing and regulatory and shareholder approvals for anticipated actions. Such statements are based on management's current expectations and are subject to certain factors, risks and uncertainties that may cause actual results, events and performance to differ materially from those referred to or implied by such statements. In addition, actual or future results may differ materially from those anticipated depending on a variety of factors, including continued maintenance of favorable license arrangements, success of market research identifying new product opportunities, successful introduction of new products, continued product innovation, sales and earnings growth, ability to attract and retain key personnel, and general economic conditions affecting consumer spending. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. ARTI does not intend to update any of the forward-looking statements after the date of this release to conform these statements to actual results or to changes in its expectations, except as may be required by law.

Contact Information

  • Corporate Contact:
    Artfest International, Inc.
    Member Relations:
    Shirley A. Casavant
    Tel: 877-278-6672

    Investor Relations:
    Steve Rash
    15851 Dallas Parkway, Suite 225
    Addison, TX 75001 USA
    marketing@artfestinternational.com