AmeraMex International Signs Letter of Intent to Merge with Cromer Equipment Company
Merger Expected to Expand Geographical Reach
CHICO, CA – October 20, 2009 – AmeraMex International, Inc. (OTC: AMMX), a provider of heavy equipment to infrastructure construction, stevedoring and mining companies, today announced that the company has signed a letter of intent to merge Cromer Equipment, a private company based in Oakland, CA, into AmeraMex International. AmeraMex International, Inc. will be the name of the new entity.
The merger of the two companies will produce pro forma revenue of $38.5 million, EBITDA (earnings before interest, tax, depreciation and amortization) of $650,000 for calendar 2008, and a combined 60 employees. Corporate headquarters will remain in Chico, CA, with locations in Oakland, Santa Rosa and Sacramento, CA. AmeraMex CEO Lee Hamre and Cromer Equipment President Marshall Cromer are second generation owners and operators of heavy equipment companies that have been in business for over 20 years. While the negotiations for the merger are taking place, Cromer Equipment will locate two mechanics and a sales person at AmeraMex’s Chico location.
“The addition of Marshall and Cromer Equipment to the AmeraMex family will bring depth to our management team and allow me to concentrate on the promising international market, while Marshall manages our domestic growth,” commented AmeraMex CEO Lee Hamre. “The merger not only enlarges our geographical reach, but provides new product lines, equipment expertise and additional target markets.
“Our goal is to have the merger completed by the end of the first quarter of 2010,” concluded Hamre.
About AmeraMex International
AmeraMex International sells, leases, and rents heavy equipment to companies within four industries: construction (light and infrastructure), shipping, mining and logging. AmeraMex’s largest product line is specialized container handling equipment that enables stevedoring companies to quickly and efficiently load and offload container and general freight ships dockside. AmeraMex, with customers in North America, South America, Asia, and Eastern Europe, has over 30 years of experience in heavy equipment sales and service and inventories top-of-the-line equipment from manufacturers such as Taylor Machine Works Inc. and Terex Heavy Equipment. For more information visit the AmeraMex website, www.AMMX.net.
About Cromer Equipment, Inc.
Cromer Material Handling is entering its 20th year in business, and during that time has evolved into the most diverse material handling company in the San Francisco Bay Area and surrounding wine country. The company sells and services multi-lines of forklifts to meet customers’ needs and applications. Cromer is involved in a “service business,” and each employee understands the necessity to perform tasks quickly to meet critical deadlines. Cromer Equipment’s outstanding reputation is based on its ability to always put its customers first as they strive to exceed expectations.
Safe Harbor Statement
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and as such, may involve risks and uncertainties. Forward-looking statements, which are based on certain assumptions and describe future plans, strategies, and expectations, are generally identifiable by the use of words such as “believe,” “expect,” “intend,” “anticipate,” “estimate,” “project,” or similar expressions. These forward-looking statements relate to, among other things, expectations of the business environment in which the Company operates, projections of future performance, potential future performance, perceived opportunities in the market, and statements regarding the Company’s mission and vision. The Company’s actual results, performance, and achievements may differ materially from the results, performance, and achievements expressed or implied in such forward-looking statements.
Media and Financial Contact:
McCloud Communications LLC
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