SOURCE: U.S. Dry Cleaning Corporation

May 01, 2008 08:00 ET

U.S. Dry Cleaning Names Industry Veteran Chief Operating Officer

PALM SPRINGS, CA--(Marketwire - May 1, 2008) - U.S. Dry Cleaning Corporation (OTCBB: UDRY) ("U.S. Dry Cleaning") today announced that Deborah Rechnitz, one of America's top consultants in the dry cleaning industry, will join the company as its Chief Operating Officer. The announcement was made by Robbie Lee, Chief Executive Officer of U.S. Dry Cleaning, the nation's fastest-growing chains of dry cleaning stores. U.S. Dry Cleaning increased its revenue by 125% with the acquisition of two chains during the first quarter of 2008.

"Deborah has been a consultant for U.S. Dry Cleaning since January of last year and has been instrumental in our last two acquisitions, rapidly assimilating them into our operations," said Mr. Lee. "She continues to help us maximize economies of scale, enabling U.S. Dry Cleaning to achieve significant cash flow improvement and thereby increase shareholder value," he added.

Ms. Rechnitz has been recognized as a top consultant in the dry cleaning industry for several years, having worked for many of the largest companies in the United States, Canada and Australia. She has also been Executive Director of the Northwest Drycleaners Association and is a regional Vice President of the International Drycleaners Congress.

"I believe that U.S. Dry Cleaning has a solid plan for growth in the midst of a rapidly changing industry," Ms. Rechnitz said, noting that the consolidation of the dry cleaning industry is following the same paths as other highly fragmented industries. "U.S. Dry Cleaning is the first company to truly recognize the opportunity in consolidation and I'm delighted to be a part of its exciting future."

Ms. Rechnitz holds BA and BS degrees from the University of Colorado, as well as an MBA from Case Western Reserve University.

About U.S. Dry Cleaning Corporation

U.S. Dry Cleaning's mission is to create the premier national chain in the dry cleaning industry. The Company's management team has extensive experience in retail consolidations and premier dry cleaning operations with a proven operating model. Management intends to rapidly acquire profitable, market-leading operations at accretive valuations. Each acquisition target is expected to be self-sufficient, and field management will remain in place to ease the assimilation.

U.S. Dry Cleaning management believes the greatest value achieved in any consolidation is during the earliest phases. As a result, the company intends to grow as rapidly as possible to maximize shareholder value.

This release is provided for informational purposes only and should not be construed as a solicitation to invest. U.S. Dry Cleaning's future operation results are dependent upon many factors, including but not limited to (i) the company's ability to obtain sufficient capital or a strategic business arrangement to fund its expansion plans; (ii) the company's ability to build the management and human resources and infrastructure necessary to support the growth of its business; (iii) competitive factors and developments beyond the company's control; and (iv) other risk factors discussed in the company's periodic filings with the Securities and Exchange Commission, which are available for review at http://www.sec.gov under "Search for Company Filings."

In accordance with a December 5, 2006 agreement, Consulting For Strategic Growth 1, Ltd. ("CFSG1") provides U.S. Dry Cleaning Corporation with consulting, business advisory, investor relations, public relations and corporate development services. CFSG1 receives only restricted stock as compensation. CFSG1 may also choose to purchase U.S. Dry Cleaning's common stock and thereafter liquidate those securities at any time it deems appropriate to do so. For more information please visit www.cfsg1.com.

Contact Information

  • Company Contact:
    Rick Johnston
    Director of Shareholder Communications
    Tel: 760-668-1274
    Email: Email Contact
    www.usdrycleaning.com

    Investor Relations:
    Stanley Wunderlich
    CEO
    Consulting For Strategic Growth 1
    Tel: 800-625-2236
    Fax: 646-205-7771
    Email: Email Contact
    Web site: www.cfsg1.com

    Media Relations:
    Daniel Stepanek
    Consulting For Strategic Growth 1
    Tel: 646-205-7797
    Fax: 646-205-7771
    Email: Email Contact