SOURCE: RG America, Inc.

June 02, 2005 08:30 ET

RG America Announces 4th Quarter Results

DALLAS, TX -- (MARKET WIRE) -- June 2, 2005 -- RG America, Inc. ("RGA") (OTC BB: RGMI) announces that during the 4th quarter of 2004, ending 12/31/04, the Company had a positive net cash-flow of $453,000 before one-time impairment charges of $545,000. "Without this write-down, we would have produced net profits for the first time in RGA's history as a public company, since its reverse merger with Invvision Capital, Inc." "We are extremely excited to have turned the corner in the growth and profitability of RG America," said J.E. (Ted) Rea, CEO. "This is truly a milestone for us, and we will continue to execute our business strategy in order to pursue this trend."

The write-down was due to impaired goodwill associated with RGA's engineering subsidiary, Practical Business Solutions 2000, Inc. As a result, RGA reports a net loss (after the non-cash write-downs) of $92,000 for the 4th Quarter. RG America is a family of companies offering construction/restoration and financial services and products primarily to the multi-family housing industry. RG Restoration, Inc. ("The Restoration Group") specializes in reconstructing multi-family and commercial properties damaged by fire, flood, hail or wind. RG Insurance Services, Inc. ("RGIS") is a full lines insurance agency. It will be the general agency for RGA's proprietary property and casualty insurance product called Property SMART(SM) that delivers improved service and true cost savings to the multi-family housing industry. RG America also sells several financial services to the multi-family housing market including the innovative Rent Shield™ program.

This release shall not constitute an offer to sell or the solicitation of an offer to buy securities to/from any person, nor shall there be any sale of these securities in any jurisdiction in which it is unlawful to make such an offer or solicitation.

A number of statements in this press release are forward-looking statements, which are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Act of 1995. These forward-looking statements involve a number of products and technologies, competitive market conditions, successful integration of acquisitions, the ability to secure additional sources of financing, the ability to reduce operating expenses and other factors described in the Company's filings with the SEC. The actual results that the Company may achieve may differ materially from any forward-looking statements due to such risks and uncertainties.

Contact Information

  • CONTACT:
    RG America, Inc.
    Kevin L. Dahlberg
    Exec. VP
    (972) 919-4774 ext. 224