Contact Information: Nexia Holdings, Inc. 59 West 100 South, Second Floor Salt Lake City, Utah 84101 OTC Bulletin Board Symbol NEXH FOR MORE INFORMATION, CONTACT: Richard Surber President 801-575-8073 x 106 Fax: 801-575-8092 Email Contact or For Investor Relations: OTC Financial Network Rick McCaffrey 781-444-6100x625 Email Contact http://www.otcfn.com/nexh
Nexia Holdings Announces Record, Preliminary 2006 Annual Revenues Increase 378% Year-Over-Year
| Source: Nexia Holdings, Inc.
SALT LAKE CITY, UT -- (MARKET WIRE) -- January 17, 2007 --Nexia Holdings, Inc. (OTCBB : NEXH ), a
diversified holding company with operations in real estate, health &
beauty, and the fashion retail industry, announced today it expects to
report record revenues for the year ended December 31, 2006. The Company
announced preliminary, unaudited total revenues of $1,874,568 for the year
ended December 31, 2006, representing an increase of 378%, compared to
total revenues of $392,414 reported for the year ended December 31, 2005.
Revenues from salon and fashion operations account for $1,623,702 of the
total 2006 revenues (unaudited). Fourth quarter revenues were $380,108 for
Landis Lifestyle Salon ("Landis") and $297,689 for Gold Fusion
Laboratories, operator of the Black Chandelier retail franchise. Both
entities showed impressive revenue increases from the immediately preceding
quarters.
Nexia Holdings, Inc. CEO Richard Surber noted, "Same store comparisons can
not be done on a year-over-year basis, as three of our four Black
Chandelier retail locations opened late in 2006. Our location in Trolley
Square, however, is nearing its third year of operations, and showed
remarkable improvement. Comparable same stores sales for Trolley Square
increased 55% to $287,046 in 2006 from $185,426 reported in 2005.
"Landis began operations in November of 2005, providing comparable sales
information for the month of December. Landis reported $151,027 in sales
for the month of December 2006, an increase of 87%, compared to sales of
$80,663 for the month of December 2005. Our goal is to increase revenues by
40% for the single Landis location during 2007. Landis' gross annual
revenues are expected to increase from $1.33 million (unaudited) in 2006 to
$1.9 million for 2007. Additional locations to be rolled out in 2007 could
further increase Landis' annual revenues. Expansion plans call for the
opening of two additional studios during the next 12 to 18 month period as
trained personnel and funding become available," added Surber.
Surber concluded, "I am very optimistic that 2007 will be another record
breaking year for Nexia as we further develop and grow our operations.
Nexia's current plans are to open at least 50 additional Black Chandelier
retail locations throughout the United States over the next five years. Our
goal is to achieve $50 million in gross annual revenues by the fifth year
of operations for Black Chandelier. This goal is driven by an aggressive
expansion strategy, but we believe it is feasible provided we are able to
raise sufficient capital to fund our growth."
Gold Fusion Laboratories currently operates 3 Black Chandelier retail
locations in Salt Lake, one store in Provo, Utah, and an online store at
www.blackchandelier.biz. Black Chandelier designs, produces, and
manufactures a majority of the items sold under the trademarks: Black
Chandelier, Jared Gold, Olfactory
Surrealism and Pink Chandelier. The stores also carry merchandise from Wrangler Jeans, Le Sportsac, Taschen books, Lomography Cameras, and Tokidoki Italy. To find additional
information about Black Chandelier go to www.blackchandelier.com.
Nexia strongly encourages the public to read the above information in
conjunction with its Form 10-KSB for December 31, 2005 and for the
subsequent quarters during 2006. Nexia's disclosures can be viewed at
www.nexiaholdings.com and www.sec.gov.
About Nexia Holdings, Inc.
Nexia Holdings, Inc. (OTCBB : NEXH ) is a diversified holding company focused
on three areas of development: Real Estate -- seeks out the acquisition and
renovation of undervalued real estate properties which have the potential
to increase in value and generate positive cash flows. Health & Beauty --
owns a majority interest in Landis Lifestyle Salon,
http://www.landissalon.com, a successful, revenue generating hair salon
built around the world-class AVEDA™ product line. Fashion Retail --
focuses on those designers with signature style and who have proven
themselves in the fashion industry across multiple vertical markets. The
Company has ownership in Black Chandelier, www.blackchandelier.com, an
innovative women's clothing designer and retailer. For more information,
visit http://www.nexiaholdings.com.
This press release contains forward-looking statements that are based on a
number of assumptions, including the successful completion of the marketing
plans and expansion of Black Chandelier operation in a short period of
time. The above statements further assume that Nexia can obtain sufficient
capital to execute expansion plans through outside investments including
but not limited to obtaining significant leasehold improvements and
sufficient lines of credit to fund the design and manufacture of Black
Chandelier products on a substantially larger scale. Nexia's assumptions
are further contingent upon the appeal of its products and concepts to at
least one major or national REIT or other retail shopping mall owner.
There are no assurances that such assumptions will prove correct. These
forward-looking statements involve a number of risks and uncertainties,
including an expectation of substantial increase in sales. The actual
results that Nexia Holdings may achieve could differ materially from any
forward-looking statements due to such risks and uncertainties.