PACIFIC GROVE, CA--(MARKET WIRE)--Apr 23, 2008 -- Elegant Illusions, Inc. (Other OTC:
EILL.PK -
News) announced today
that same store revenues for March 2008 were
approximately 12% down from March 2007. Company wide revenues
were
approximately 10% down from total revenues for March 2007.
Management on a continual basis for the last four years
has invested
strongly in inventory while gold was at lower prices. We
have kept our
leases in option form thereby being able to move with the
changes in the
economy. We have moved our jewelry design and price point
to appeal to the
upper middle class and above. The Company has recognized
the trend of
shrinking discretionary funds for the last several years.
Management
believes that this trend will continue and increase due
to rising energy
costs, the shrinking access to credit and lower wages because
of the
shrinking manufacturing base in America. In response to
this trend, we
have closed our non performing locations in an orderly manner
and expect to
close additional stores in an orderly manner while maintaining
a level of
sales that will allow the Company to continue its moving
into different
markets that have a maximum return with a minimal initial
risk of capital
investment. The Company continues to evolve and move its
concept into the
upper classes where we believe we provide tremendous value
and uniqueness.
We believe a viable avenue to broaden sales of our products
is through
large retail companies. While we have yet to realize any
positive results
in this area, we are continuing our efforts in this area.
We anticipate
lower sales, and store closures, however there will be corresponding
lower
expenses and we anticipate this Company will be debt free
and ready to
deliver on any opportunity that it is presented with.
Company wide figures are based on the revenues of 19 stores
in 2006 versus
revenues of 17 stores in 2007.
Elegant Illusions, Inc. is engaged primarily in the created
gem jewelry
business with 17 specialty stores across the continental
United States.
The Company also has art galleries in Sarasota, Florida,
Vail, Colorado and
New Orleans.
This release includes certain forward-looking information.
This
forward-looking information involves certain risks and uncertainties
which
could cause actual results to differ materially from those
discussed herein
including, but not limited to, risks relating to changing
economic
conditions, competitive pressures and changes in expenses
(such as changes
in labor, rent and/or inventory purchase costs). Forward-looking
information generally is information stated to be anticipated,
expected or
projected by the Company. We caution readers that any such
forward-looking
statements are based on our current expectations and beliefs
but are not
guarantees of future performance. Actual results could differ
materially
from those expressed or implied in the forward-looking statements.
The
Company undertakes no obligation to update or revise any
forward-looking
statements to reflect subsequent events or circumstances.