Access 1 Issues Buy Recommendation for Universal Automotive
3 March 2000
Access 1 Financial Issues Buy Recommendation for Universal Automotive Industries, Inc. with 3-Month Price Target of $5.75 Per Share
ALSIP, Ill., March 2 -- Universal Automotive Industries, Inc.
, announced today that Access 1 Financial, a California based
firm, initiated coverage of the Company with a buy recommendation and a
3-month price target of $5.75 per share.
The initial coverage of Universal Automotive Industries, Inc. by Access 1
Financial noted that, "Universal Automotive has demonstrated consistent and
significant revenue and profit growth through its successful business model of
acquisition and consolidation of the automobile aftermarket industry. The
industry has demonstrated considerable growth within the past several years,
estimated by Frost and Sullivan at 3%-5% per annum." The report also
considered that "the future growth of Universal Automotive Industries, Inc.
will be largely driven by four primary factors, including: (1) capitalizing
on the Company's unique dual positioning with both value and premium product
lines in various aspects of the automotive aftermarket; (2) expanding the
Company's distribution channels and strategic relationships with major buying
groups and retail auto supply stores; (3) developing Internet-based business-
to-business e-commerce opportunities for commodity automotive items; and (4)
establishing its products with a branded identity through marketing and
advertising."
"Universal Automotive welcomes Access 1 coverage of the Company,"
commented Arvin Scott, President and CEO. "The Company's prospects look
bright. Management's focus has been entirely devoted to building the business
and has not historically allocated resources to 'getting the story out.'"
Universal Automotive Industries, Inc. is a manufacturer and distributor of
brake rotors, drums, disc brake pads, relined brake shoes, wheel cylinders and
brake hoses for the automotive aftermarket. The Company markets approximately
50% of its product under its UBP trademark (Universal Brake Parts) and as the
Ultimate brand, with the balance under its customers' private labels. For
further information, contact the Company c/o Jerome J. Hiss, CFO
(708-293-4050).
Access 1 Financial and/or its principals have/will be compensated 100,000
options at an exercise price of $2.50 per share of Universal Automotive
Industries, Inc. common stock for investor relations services that include the
publication of this report. For a complete copy of the buy recommendation on
Universal Automotive Industries, Inc., please contact Access 1 directly at
310-581-7997. The report may also be viewed on Access 1 Financial's web site
at http://www.access1financial.com .
This news release contains certain 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, which are intended to
be covered by safe harbors created hereby. Such forward-looking statements
involve known and unknown risks, uncertainties (including those risk factors
referenced in the Company's filings with the Securities and Exchange
Commission), and other factors that may cause the actual results, performance
or achievements of the Company to be materially different from any future
results, performance, or achievements of the Company expressed or implied by
such forward-looking statements.