Aleritas Capital Discusses Second Quarter 2008
OVERLAND PARK, KS, May 21, 2008 – Aleritas Capital Corporation (OTCBB: BRCR; BRCRW; BRCRU) Chairman Robert D. Orr and President Michael Hess today announced that the Company expects to be marginally profitable during the second quarter despite limited revenues from new loan originations.
Aleritas Chairman Robert D. Orr stated, “We continue to play ‘catch up’ from the $52.5 million refinancing transaction that closed on March 7, 2008 and which was not fully funded because of general credit markets conditions. However, we are making progress as we’ve funded an additional $5.5 million of the refinancing transaction in recent days.”
Aleritas President Michael Hess added, “Rob and I have thoroughly analyzed our acquisition loan portfolio and set up additional reserves in the first quarter as a result. We are also working with Brooke Capital Corporation, an insurance agency franchisor, on recruitment plans to strengthen our start up loan portfolio.”
Hess also added, “Last week we distributed credit memos to prospective participating banks for two new managing general agency loans. With $90 million in equity and a capital to asset ratio exceeding 30%, we are a strong and reliable lending partner.”
About the Company… Aleritas Capital is a specialty finance company that originates loans to insurance agencies and insurance-related businesses.
This press release contains forward-looking statements. All forward-looking statements involve risks and uncertainties, and several factors could cause actual results to differ materially from those in the forward-looking statements. The following factors, among others, could cause actual results to differ from those indicated in the forward-looking statements: the uncertainty that the Company will achieve its short-term and long-term profitability and growth goals, uncertainties associated with market acceptance of and demand for the Company's products and services, the impact of competitive products and pricing, the dependence on third-party suppliers and their pricing, its ability to meet product demand, the availability of funding sources, the exposure to market risks, uncertainties associated with the development of technology, changes in the law and in economic, political and regulatory environments, changes in management, the dependence on intellectual property rights, the effectiveness of internal controls, and risks and factors described from time to time in reports and registration statements filed by the Company with the Securities and Exchange Commission. A more complete description of the Company’s business is provided in the Company’s reports and registration statements, which are available from the Company without charge at www.aleritascapital.com or at www.sec.gov.