HONOLULU, Feb. 17 /PRNewswire-FirstCall/ -- American Hospital Resources, Inc. (OTC Bulletin Board: AMHR; Berlin (WKN) 913541) announced that it has signed a definitive agreement to acquire 100% interest in HAPS USA, Inc., the parent company of Hikari Systems Co., Ltd., a Japanese gaming chain with a 28 year operating history.
Hikari Systems Co., Ltd. is one the leading operators within the Japanese Pachinko Industry. Hikari has six operating locations considered by industry executives to be some of the largest and most prestigious in its regional territories.
The Pachinko market is undergoing a period of consolidation and modernization according to AMHR CEO Mark Buck. With its state of the art information technology (IT) infrastructure, Hikari is already taking advantage of this opportunity to increase customer loyalty, market share and the competitiveness of its locations.
Company officials reported that Hikari’s Unconsolidated Unaudited Financial Statements for the 9-month period ending December 31, 2004 showed Gross Sales of $168,427,000, Gross Profit of $19,316,000 and an Operating Profit of $2,643,000. Shareholder equity is $18,388,346 at the end of the 9 month period.
According to company management, Hikari plans to build upon its success expanding in two main geographic areas. These areas have highly positive market characteristics and demographics for the Pachinko Industry. With the opening of each new establishment greater economies of scale for Company operations will be achieved. New locations are expected to be profitable from the first year of operations.
Mark Buck, AMHR CEO said, “It has been a rewarding experience to work with the HAPS USA team to finalize this acquisition. The decades of experience within HAPS management and their track record of success was obvious during the due diligence process. Attention to the smallest detail from the demographics of store location to the optimizing of every feature of store layout is designed to maximize the profit potential of each location. Corporate planning considers the long term trends of Japanese society as well as potential markets worldwide. History shows that this industry grows regardless of the economic climate and may even do better during economic downturns.”
This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The words “estimate”, “possible” and “seeking” and similar expressions identify forward- looking statements, which speak only as to the date the statement was made. The company undertakes no obligation to publicly update or revise any forward- looking statements, whether because of new information, future events, or otherwise. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted, or quantified. Future events and actual results could differ materially from those set forth in, contemplated by, or underlying the forward-looking statements. The risks and uncertainties to which forward-looking statements are subject include, but are not limited to the effect of government regulation, competition and other material risks.
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American Hospital Resources, Inc.
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