Surety Capital Corp. (OTC Pink: SRYP) (PINKSHEETS: SRYP) announces its first quarter ended March 31, 2014 unaudited financial results. Surety's Chairman of the Board and CEO Ralph Mendoza stated, "Surety's net income for the quarter was $16,366, a 15% decrease over the same quarter ended March 31, 2013. This decrease was primarily attributable to a decrease in gross volume." Mendoza further stated, "This is the thirteenth quarter in a row that Surety has had a net income from its ordinary business operations. The Company is continuing its efforts to grow its customer base within the Hispanic funeral home receivable financing segment and its net income is impacted not only by competitive lending sources, but by factors that impact the demand for funeral home receivable financing in general and its cost of capital." Mendoza finally stated, "Our decision last year to conserve cash and direct earning back into the Company by not continuing to incur the cost to have the Company pay fees to be quoted on the OTC Market and publish the required reports has significantly contributed to maintaining a positive trend in net income, however it has resulted in marginal to no trading in our shares. The last reported trade of $.007 per share would indicate our market capitalization is less than two times our annual earnings for the past twelve months. While there are many factors that influence the volume and value of our share trading, we believe that with our growth and consecutive quarters of positive earnings our Company should reflect a higher overall market value."
CEO, Chairman Mendoza stated, "The Board of Directors is in the final stages of getting shareholders' approval that Surety convert its domicile to the State of Texas from Delaware with a revised authorized share structure that provides for an effective forward split of our stock 100 for 1. Based on our understanding of the dynamics of how stocks trade in our market environment we are hopeful that such action will increase our overall market valuation." A majority of the shareholders' are required to approve the actions and the Board of Directors directly and/or indirectly control more than 50% of the shareholders' votes. Surety Capital Corporation currently has 16,520,973 shares of common stock $.01 par value outstanding out of an authorized 20,000,000 shares. After the split there will be 1,652,097,300 shares of common stock no par value outstanding and 2,000,000,000 shares authorized.
Market Statement: Some limited information about Surety is contained on the OTC Markets OTCPink website; however the Company does not file reports with the Securities and Exchange Commission or otherwise make current financial or other information publicly available. With a lack of current public information available, anyone considering purchasing or selling the Company shares should carefully consider the risks involved with the lack of having such information.
This release contains forward-looking statements that reflect Surety's plans and expectations. In this press release and related comments by Company management, words like "hope," "profit," "leading," "opportunity," "expect," "anticipate," "estimate," "forecast," "objective," "plan," "goal" and similar expressions are used to identify forward-looking statements, representing management's current judgment and expectations about possible future events. Management believes these forward-looking statements and the judgments upon which they are based to be reasonable, but they are not guarantees of future performance and involve numerous known and unknown risks, uncertainties and other factors that may cause the Company's actual results, performance, achievements or financial position to be materially different from any future results, performance, achievements or financial position expressed or implied by these forward-looking statements.
For more details concerning our financial statements, reports and other corporate matters, please contact either Ralph Mendoza or Dick Abrams at 817.850.9800 or firstname.lastname@example.org.
SOURCE: Surety Capital Corp.