SOURCE: Axios Mobile Assets Corp
VAUGHAN, ON--(Marketwire - Jul 3, 2012) - Axios Mobile Assets Corporation (CNSX: AXA) today announced that it has secured its first purchase agreement -- $300 million (USD), five-year contract from Ongweoweh Corporation -- for its next generation, composite pallet and technology platform.
Ongweoweh, which has been conducting trials with Axios pallets for the past 18 months, is the first in the industry to offer this exclusive solution to the marketplace. It is among the most comprehensive logistics tools available today, providing cost savings, unique tracking and tracing in the supply chain, reduced damage because of increased strength and durability, and protection against counterfeiting and theft.
"This agreement, which aligns with Axios' aggressive growth strategy, validates and demonstrates marketplace acceptance and adoption of Axios' new technology platform," said Richard MacDonald, Axios president and CEO. "The significant volume order mitigates risk for large-scale adoption by retailers and manufacturers and positions the platform as a viable alternative to current poolers and pallet management companies. This is a significant step forward for Axios and Ongweoweh in the North American market," said MacDonald.
"Ongweoweh is excited to be the first to introduce this ground-breaking solution as one of our offerings," said Dave Wickwire, executive vice president and chief financial officer of Ongweoweh. "Ongweoweh's North American distribution and asset recovery network, together with Axios' platform, moves this technology into the logistics industry mainstream and provides our clients with exclusive benefits never seen before in the supply chain. As a progressive company, we are committed to offering unique and effective solutions and the Axios platform is a great example."
This agreement paves the way for additional contracts with retailers and manufacturers, and opens the market for aggressive growth. The Axios solution is ideal for both open- or closed-loop environments and serves as a strong complement to asset-based, third party logistics providers that wish to differentiate themselves in the marketplace.
About Axios Mobile Assets
Axios Mobile Assets Corp. is a logistics enabler, featuring next generation, composite pallet technology, which can be bundled with its proprietary tracking and information system that helps improve the value chain in the logistics market. The Axios bundled offering is gaining market acceptance based on its unique attributes: lower total cost, longer useful life, customized configurations and a revenue stream through carbon credit generation, monitoring and the monetizing of carbon emissions reductions. Axios was incorporated under the Business Corporations Act (Ontario) and is a reporting issuer in the Province of Ontario. Axios is traded on the Canadian National Stock Exchange (CNSX) under the symbol AXA.
Further information about the company can be found at www.axiosma.com, www.sedar.com and www.cnsx.ca.
About Ongweoweh Corporation
Established in 1978, Ongweoweh Corp., a Certified Minority Business Enterprise, is a full service, sustainable pallet procurement management organization that serves public and privately-owned companies across North America. Ongweoweh utilizes industry-approved logistics software to enable the 30 million pallets the company services each year to be tracked using real-time monitoring. Ongweoweh's unique service approach, including its 500+ service and product partners, reduces overall costs for its clients by ensuring safe delivery of assets and enabling pallets to be recovered, reused and recycled through its reverse logistics program. Ongweoweh belongs to the National Minority Supplier Diversity Council (NMSDC) and the Sustainable Packaging Coalition (SPC).
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements included in this report and the documents that we incorporate by reference, are forward-looking statements and can generally be identified by words such as "will," "allow," "outlook," or the negative of these terms, and other comparable terminology. Various risks and other factors could cause actual results, and actual events that occur, to differ materially from those contemplated by the forward looking statements, such as whether Axios and the pallet management company are able to agree on the terms of a definitive supply agreement, and whether Axios is able to meet price, performance, quality and delivery requirements. Axios undertakes no obligation to update the information in this press release to reflect events or circumstances after the date hereof or to reflect the occurrence of anticipated or unanticipated events.