SOURCE: NavStar Technologies, Inc.

NavStar Technologies, Inc.

June 24, 2009 08:30 ET

NavStar Technologies, Inc. Announces Pre/Post Acquisition Guidance

ANAHEIM, CA--(Marketwire - June 24, 2009) - NavStar Technologies, Inc. (PINKSHEETS: NVSR), a multinational firm focused on developing and commercializing asset tracking and monitoring devices for vehicles and high value cargo with specific geographic focus in Latin America, today reaffirms financial guidance for its possible future operating performance based upon two scenarios. Both scenarios are summarized below.

The first of these scenarios announces the company's projected performance over the course of the next four years presuming the procurement of approximately $1.0 million of working capital and assumes the business continues without material change.

Below is the summary financial income statement for this assumption:

Year ($M)       2009       2010       2011       2012       2013
Revenue          2.0       12.4       16.3       20.8       25.9
COG              1.1        7.4       10.1       13.2       16.9
Gross Profit      .9        5.0        6.2        7.6        9.0
SG&A             1.3        2.7        3.5        4.6        5.6
EBITDA           (.4)       2.3        2.7        3.0        3.4

The second scenario contemplates an enhanced possible operating projection over the same four years, but presumes the procurement of approximately $2.0 million of working capital and the successful completion and integration of a synergistic acquisition discussed later in this press release. The incremental value created through the completion of this acquisition is reflected in the following recast financial projections:

Year ($M)       2009       2010       2011       2012       2013
Revenue          2.2       17.2       26.4       35.3       46.9
COG              1.2        9.3       15.1       20.5       27.1
Gross Profit     1.0        7.9       11.3       14.8       19.8
SG&A             1.5        3.7        5.3        6.9        8.6
EBITDA           (.5)       4.2        6.0        7.9       11.3

N. Douglas Pritt, Chairman and CEO, said, "In addition to the reoccurring monthly service revenue which we will realized from this acquisition, we will also be able to offer customers a total solution and the ability to customize service offerings quickly and take full advantage of sales opportunities."

For further information about NavStar Technologies, Inc. visit the company's website at www.navstarinc.com.

FORWARD-LOOKING STATEMENT

This press release contains forward-looking statements within the meaning of U.S. federal securities laws, that involve known and unknown risks and uncertainties that may cause actual results to differ materially from those expressed or implied in this press release.

About NavStar Technologies, Inc.

NavStar is focused on the creation of products and services that provide tracking and monitoring of vehicles and high value cargo, equipment, and other valuable and personal assets.

Contact Information

  • CONTACT:
    NavStar Technologies, Inc.
    Patrick Bannister
    714-502-6900
    Email Contact