HIGHLAND PARK, IL--(Marketwired - Apr 8, 2014) - UV Flu Technologies, Inc. (
Highlights of the proposed distribution agreement include:
- The distributor will buy UVFT's existing inventory valued at approximately $200,000.
- UVFT to provide a minimum of 36,000 air purifier units with a retail value of $14 million for the first year.
- Distributor will accept up to 50,000 units if UVFT and UVFT's manufacturer can increase production levels.
- UVFT to invest approximately $30,000 in the prototyping, testing and production of the RX300 air purifier unit currently in development.
"The closure of this deal will be the culmination of months of work and will powerfully launch UVFT into its next stages of growth," stated Michael Ross, CEO for UV Flu. "The distributor will be making a major commitment to the marketing of our product to achieve steady sales, support increased production and drive large-scale growth."
Ross noted, "Bringing the ViraTech UV-400 to mass market took considerable effort from many parties. Working closely with our manufacturer, GFL Lighting, we have been able to bring the manufacturing cost of the UV-400 down 30 percent making it more attractive to distributors and a mass-market consumer. Adding the RX300 will further enhance our product line. The majority of the development of the RX300 unit was completed over the last two years and we were looking to secure a distribution agreement prior to bringing it to market. We have already identified a partner interested in assisting in the funding of the RX300 tooling phase."
Ross stated, "Over the past months as the new CEO, three of my major goals have been to reduce UVFT's cash burn by 70 percent, eliminate debt and bring the company's flagship product to market. This deal would complete all three of those goals."
About UV Flu Technologies, Inc. (
UV Flu Technologies (UVFT) is an innovative developer; manufacturer and distributor of biotechnology products initially targeting the rapidly growing $7 billion Indoor Air Quality ("IAQ") industry sector. UVFT manufactures the RxAir™ line of air purification solutions used in hundreds of hospitals and medical facilities and ViraTech™ air purifiers for consumers and commercial use. Its UV-400™, which utilizes high-intensity ultraviolet radiation (UV-C) inside a killing chamber, goes beyond filtration to destroy harmful airborne bacteria, at rates exceeding 99.2% on a first-pass basis, while also reducing the concentrations of odors, and VOCs (volatile organic compounds, such as acetone, benzene, formaldehyde, etc.). The FDA has issued a coveted Class II medical listing that enables UVFT to market the product as a medical device. For more information, visit: www.uvflutech.com and watch the 5-minute video describing the ViraTech UV-400™.
Forward Looking Statements Disclaimer
Investors are cautioned that certain statements contained in this document as well as some statements in periodic press releases and some oral statements of UVFT officials are "Forward-Looking Statements" within the meaning of the Private Securities Litigation Reform Act of 1995 (the "Act"). Forward-looking statements include statements which are predictive in nature, which depend upon or refer to future events or conditions, which include words such as "believes," "anticipates," "intends," "plans," "expects," and similar expressions. In addition, any statements concerning future financial performance (including future revenues, earnings or growth rates), ongoing business strategies or prospects, and possible future actions, which may be provided by management, are also forward-looking statements as defined by the Act. Forward-looking statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance or achievements of the Company to materially differ from any future results, performance, or achievements expressed or implied by such forward-looking statements and to vary significantly from reporting period to reporting period. Although management believes that the assumptions made and expectations reflected in the forward-looking statements are reasonable, there is no assurance that the underlying assumptions will, in fact, prove to be correct or that actual future results will not be different from the expectations expressed in this report. These statements are not guarantees of future performance and UVFT has no specific intention to update these statements.