Tilden Associates, Inc. To Purchase American Brake Service
6 January 1999
Tilden Associates, Inc. To Purchase American Brake Service In Move To Expand Nationwide
LONG ISLAND, N.Y.--Jan. 6,1999--Tilden Associates, Inc. (OTC BB:TLDN) operating under the trade name of Tilden for Brakes Car Care Centers, today announced it has signed a contract to purchase all of the assets of American Brake Service, Inc., extending Tilden's services further across the nation. American Brake Service operates 13 franchised brake and auto repair service centers in five states which will be integrated into Tilden.
The acquisition is scheduled to close this month. American Brake Service, Inc. estimates its franchise royalties for 1998 will amount to between $250,000 and $275,000. Tilden is completing a successful year, reporting a nine month 1998 net profit of $190,629, versus a net loss of $281,994 for the full year 1997.
Georgia-based American Brake Service is in the process of expansion into a national chain with nine additional units presently in the development stage. When the purchase is finalized, it will establish a Tilden presence for the first time in the states of Georgia, Massachusetts, New Hampshire, Minnesota, and Indiana. The state of Pennsylvania will be added when the new American Brake centers open in the first half of 1999.
"The acquisition by Tilden of American Brake Service assets will have a dual effect, enhancing both the franchisees' equity with the long-established Tilden Car Care Centers with a full array of complete automotive repairs, and continued corporate growth for Tilden shareholders," commented Robert Baskind, president of Tilden Associates, Inc.
Based on Long Island, this Spring Tilden for Brakes Car Care Centers purchased BrakeWorld of Florida, taking over 20 locations. The company presently provides complete automotive service and repair through 35 franchises in New York, New Jersey, Florida, and Colorado.
In addition, Tilden has 58 new franchises sold which are under contract to be developed. Tilden's acquisition of American Brake Centers will bring the number of its automotive centers to 48 with an additional 67 under contract for development. Tilden will then have a presence in 10 states across the nation.
Tilden for Brakes Car Care Centers have served millions of automobile owners since the Tilden family founded the company in 1923. While Tilden initially built its reputation on brakes, all its units offer full auto servicing utilizing state-of-the-art diagnostic equipment, including tire brakes, tune-ups, wheel alignment, shocks/struts, air conditioning, and other services, at a time when most niche repair shops are limited to specific auto repairs.
The company has an open invitation for Market Development Partners and individual franchises to share in their successful enterprise. Information may be obtained by contacting Tilden at 1/800-TILDENS or visiting their website at www.tildencarcare.com.
"Safe Harbor" Statement
Except for the historical information contained herein, certain of the matters discussed in this press release are "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995, which involve certain risks and uncertainties, including but not limited to, changes in general economic conditions, material prices , labor costs, interest rates, consumer confidence, competition, environmental factors, and governmental regulations affecting the company's operations.