SOURCE: Fortitude Group, Inc.

April 08, 2014 09:35 ET

Fortitude Group, Inc. Receives Initial VaporVites Order

ERIE, PA--(Marketwired - Apr 8, 2014) - Fortitude Group, Inc. (OTC: FRTD) receives an initial order of 5,000 VaporVites.

The initial 5,000 unit order was received from a Colorado dispensary with 4 stores. Fortitude's cost to manufacture each VaporVites unit is $29.00. The wholesale cost to the dispensary is $89 or a profit per unit of $60.00 representing $300,000.00 profit for this initial order. Under the terms of the agreement, the dispensary paid a 25% deposit for the initial order with the balance to be paid upon product delivery. The estimated delivery time to the dispensary is April 20, 2014. The dispensary has an option to purchase an additional 25,000 units within the next 3 months at a 10% discounted wholesale price or $80.10 per unit.

Thomas J. Parilla, CEO of Fortitude, stated, "We are pleased to begin selling the VaporVites product while reflecting this product revenue on our income statement. The distribution of the VaporVites e-cig product line has immediately produced revenue for the company at minimal hard cost or capital outlay. Our goal is to wholesale a minimum of 250,000 VaporVites units in the remainder of 2014. Based on our preliminary case test study, we are confident that we will achieve, if not exceed, this goal. At our $60.00 wholesale profit per unit, we should derive roughly $15 million in 2014 from the VaporVites initiative or an additional $.0187 per share."

In further corporate development, the company has begun its previously announced share buyback of restricted common shares from Fortitude shareholders who requested information from The company intends to retire to treasury approximately 180 million restricted shares this coming quarter.

The company also announces that the formation of its new Fortitude subsidiary will be completed on April 10, 2014. This new company will market the "MariMist" product to its existing distribution channel.

The company would also like to inform the investment public that it intends to hold an investor conference call the last week of April 2014. The purpose for this call is to update the public on the progress of its stored value card initiative, new product offerings and new revenue recognition for 2014.

The company is continuing to expand its high revenue/low cost product initiatives and will announce them to the public as they are ready to go to market.

Management for the company has confirmed that no new shares have come off restriction since the company's last filing and no notes or convertible debentures have been issued by the company.

About Fortitude
Fortitude Group, Inc. is a diversified company with investments in multiple sectors of the economy targeting joint ventures, wholly owned subsidiaries and/or majority/minority positions that cross various market segments with the goal of creating a quality company that builds intrinsic value for its shareholders.

About VaporVites
VaporVites offers a unique herb vaporizing system that can be used with a wide array of dry herbs. The portable device conveniently fits in your pocket and is ergonomically designed with a convenient storage compartment for tips and paraphernalia. The advanced temperature control system, with its surrounding ceramic heating chamber, enhances the overall vapor experience.

Forward Looking Statements
This press release contains forward-looking statements. Such forward-looking statements are subject to a number of risks, assumptions and uncertainties that could cause the Company's actual results to differ materially from those projected in such statements. Forward-looking statements speak only as of the date made and are not guarantees of future performance. We undertake no obligation to publicly revise any forward-looking statements.

Contact Information

  • Contact
    Fortitude Group, Inc.
    Investor Relations
    Phone: 888-531-4931