Universal Express Sells Capital Subsidiary
NEW YORK, NY – October 28, 2004 - Universal Express Inc. (OTCBB: USXP), today sold 75% of Universal Express Capital Corp. its former subsidiary, to Capitalliance, a $350,000,000 insurance and funding operation. USXP will retain 10% of the shares of the new Company and 15% of the shares of the Company will be distributed to USXP shareholders.
After the new Universal Express Capital is approved as a public entity, shareholders of USXP will be notified of the distributions of shares to them.
In addition, the new Universal Express Capital run by Capitalliance will now serve as a lead funding source for future USXP acquisitions and investments.
“Most importantly, USXP will receive a preferred lending rate and Capitalliance is initially capitalizing Universal Express Capital with $22,500,000 of assets. Capitalliance receives and develops an active trading company, USXP receives a funding partner and 10% of a $22,500,000 capitalized company with bonding relationships worldwide. Our shareholders will receive stock distributions of Universal Express Capital and, in addition we have received from Capitalliance a funding lead commitment of $22,000,000 for Alpine Airlines financing and $225,000,000 for our Equipment Trust Certificates Program,” said Richard A. Altomare, Chairman & CEO of Universal Express.
About Universal Express
Universal Express, Inc. owns and operates several subsidiaries including Universal Express Capital Corp., (including its USXP Cash Express division) Universal Express Logistics, Inc. (including Virtual Bellhop, LLC and Luggage Express), and the UniversalPost Network. These subsidiaries and divisions provide the private postal industry and consumers with value-added services and products, logistical services, equipment leasing, and cost-effective delivery of goods worldwide.
Safe Harbor Statement under the Private securities Litigation Reform Act of 1995: The statements contained herein, which are not historical, are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements including, but not limited to, certain delays beyond the Company's control with respect to market acceptance of new technologies, products and services, delays in testing and evaluation of products and services, and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission.
ps:neddes + so far;)