SOURCE: Elegant Illusions

February 25, 2008 14:28 ET

Elegant Illusions, Inc. Reports Jan 2008 Same Store and Company Wide Revenues

PACIFIC GROVE, CA--(Marketwire - February 25, 2008) - Elegant Illusions, Inc. (PINKSHEETS: EILL) announced today that same store revenues for January 2008 were approximately 19% down from January 2007. Company wide revenues were approximately 20% down from total revenues for January 2007.

Management on a continual basis for the last four years has invested strongly in inventory while gold was at lower prices. We have kept our leases in option form thereby being able to move with the changes in the economy. We have moved our jewelry design and price point to appeal to the upper middle class and above. The Company has recognized the trend of shrinking discretionary funds for the last several years. Management believes that this trend will continue and increase due to rising energy costs, the shrinking access to credit and lower wages because of the shrinking manufacturing base in America. In response to this trend, we have closed our non performing locations in an orderly manner and expect to close additional stores in an orderly manner while maintaining a level of sales that will allow the Company to continue its moving into different markets that have a maximum return with a minimal initial risk of capital investment. The Company continues to evolve and move its concept into the upper classes where we believe we provide tremendous value and uniqueness. We believe a viable avenue to broaden sales of our products is through large retail companies. While we have yet to realize any positive results in this area, we are continuing our efforts in this area. We anticipate lower sales, and store closures, however there will be corresponding lower expenses and we anticipate this Company will be debt free and ready to deliver on any opportunity that it is presented with.

Company wide figures are based on the revenues of 19 stores in 2006 versus revenues of 17 stores in 2007.

Elegant Illusions, Inc. is engaged primarily in the created gem jewelry business with 17 specialty stores across the continental United States. The Company also has art galleries in Sarasota, Florida, Vail, Colorado and New Orleans.

This release includes certain forward-looking information. This forward-looking information involves certain risks and uncertainties which could cause actual results to differ materially from those discussed herein including, but not limited to, risks relating to changing economic conditions, competitive pressures and changes in expenses (such as changes in labor, rent and/or inventory purchase costs). Forward-looking information generally is information stated to be anticipated, expected or projected by the Company. We caution readers that any such forward-looking statements are based on our current expectations and beliefs but are not guarantees of future performance. Actual results could differ materially from those expressed or implied in the forward-looking statements. The Company undertakes no obligation to update or revise any forward-looking statements to reflect subsequent events or circumstances.

Contact Information

  • Contact:
    James Cardinal
    Elegant Illusions, Inc.
    (831) 649-1814
    Email Contact