CirTran Reports 332% Growth in Energy Beverage Sales in 10-K Filing
SALT LAKE CITY, April 18, 2011 – CirTran Corporation (OTC BB: CIRC) continued to focus on and highlight the international growth and sales of its Playboy Energy Drink product line in its filing of Form 10-K for the year ended December 31, 2010.
CirTran, which consolidated certain entities in its financial statements for the first time as a result of the nature of its business arrangements, reported that sales to external customers by its Beverage Distribution segment, including sales of Playboy Energy Drink, grew worldwide by 332 per cent during the year, totaling $7,712,492, well more than three times sales of $1,784,028 of the previous year. Also during 2010, new agreements were signed to distribute Playboy Energy Drink in Michigan, Illinois, Arizona, Pennsylvania, New Jersey and Texas. New agreements were also signed to add distribution of Playboy Energy Drink in Russia, Ukraine, Spain, Andorra, the United Kingdom, France, the Netherlands, Jordan, the United Arab Emirates, Brazil, Uruguay, Paraguay, Argentina, Poland, Latvia, Lithuania and Canada.
As of the start of the second quarter of fiscal 2011, Playboy Energy Drink was available in more than 40 countries worldwide.
For fiscal 2010, CirTran reported a net loss of $4,954,638, a reduction of $860,015 or 14.8 per cent from a loss of $5,814,653 for fiscal 2009. Consolidated net sales were $9,044,902, down 7 per cent from $9,732,855 in fiscal 2009, while the net loss from operations was $2,972,488, an improvement of more than 31.6 per cent compared with a net loss from operations of $4,342,761 in fiscal 2009.
Iehab J. Hawatmeh, CirTran’s founder, president and CEO, said that the 2010 bottom line was impacted by a non-cash loss of $889,297 on derivative valuation, where a gain of $100,295 was reported the previous year, and a net loss of $2,336,985 attributable to non-controlling interest due to consolidating Play Beverages, LLC effective January 1, 2010.
Mr. Hawatmeh said that CirTran “remains steadfast in our focus on the global beverage market and in improving consumer/online sales of other products. As we explore, enter and grow in new markets,” he said, “CirTran is continuing operations in our previous core businesses of direct domestic manufacturing and assembly of electronics products.
“While the worldwide global energy drink market has grown seemingly overnight to become a multi-billion dollar industry,” he said, “it is still very young and dynamic, allowing exciting new products such as Playboy Energy Drink to make successful debuts.”
Playboy Energy Drink is produced in 8.4- and 16-ounce sizes and a new 2-ounce size in both regular and sugar-free, and is available at bars, restaurants and retail stores.
About CirTran Corporation
Founded in 1993, CirTran Corporation (www.cirtran.com) has evolved from its roots as an international, full-service contract manufacturer. From its headquarters in Salt Lake City, Utah, where it operates, along with its Racore Technology (www.racore.com) electronics manufacturing subsidiary, from an ISO 9001:2000-certified facility, CirTran has grown in scope and geography. Today, CirTran’s operations include: CirTran-Asia, a subsidiary with principal offices in ShenZhen, China, which manufactures high-volume electronics, fitness equipment, and household products for the multi-billion-dollar direct response industry; CirTran Online, which offers products directly to consumers through major retail web sites; and CirTran Beverage, which has partnered with Play Beverages, LLC, to introduce and distribute the Playboy Energy Drink.
This press release contains forward-looking statements within the meaning of section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. With the exception of historical information contained herein, the matters discussed in this press release involve risk and uncertainties. Actual results could differ materially from those expressed in any forward-looking statement. CirTran disclaims any obligation or intention to update any forward-looking statement.
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