USA: East Coast Beverage Corp. Raises $1 Million in Private Placement of Notes
East Coast Beverage Corp. (OTC Bulletin Board: ECBV - news), producer of Coffee House USA(TM), a leading ready-to-drink bottled iced-coffee beverage, announced today that it has raised $1 million in the first tranche of a projected $3 million private placement of notes that is intended to augment the Company's working capital during the current period of very fast growth and market penetration. The transaction is being managed by Solid ISG, a New York City-based investment banking and brokerage firm. Interest on the 2-year loan is 10 percent paid in cash or common stock at the election of the Company.John Calebrese, CEO stated, "Coffee House USA is being enthusiastically received by mass marketers around the country, and these funds will allow us to ramp up production to meet the fast-increasing demand."Alex Garabedian, President and C.O.O. stated, "The recent explosion of new business, coupled with strong re-orders, have proven the merits of the Company's business strategy of committing significant funds to the Company's early growth. Our decision to invest heavily in slotting fees, crew drives, coolers and shelving racks, in order to assist our distributors in obtaining shelf space, was carefully considered and has proven to be the right decision as we move forward to challenge the leaders in the New Age beverage category."
August 30, 2000