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March 31, 2000 02:14pm
Beacon Light Expands Its Business in the Adult Market
Source: Beacon Light
by: Company Press Release

(HARTFORD, CT) -- Beacon Light Holding Corporation (NQB:BLHG) announced today that Wellux Industries Limited, its adult product subsidiary, is going through a major expansion program to meet the significant increase in demand for its adult products. In recent years demand in the industry for adult products have increased dramatically both on the retail level and on the Internet as their products become more mainstream. Wellux is placing itself as a direct supplier to the traditional retailers, mail order companies as well as to companies that sell adult products on the Internet.

The range of Wellux customers in recent months have been expanding, to include larger retailers. These larger retailers require a greater range of new products. In order to fulfill their needs, the range of adult toys, lingerie and leather products produced by Wellux are being expanded, resulting in fewer products being acquired from third party sources. This increase in production will result in an increase in the total profit margin to the company.

Research into the industry has shown that a considerable portion of the adult product retailers, particularly those based on the internet, because of a lack of sufficient inventory on hand, have had difficulty to supply orders efficiently. They are required to supply their products in a generally acceptable time frame and their inability to do so has led to a fall in their business. The focus of Wellux has always been on a business to business footing, and having its own factory means that Wellux can support all adult product outlets, whether they are retail or internet based.

The recent and sudden hype of the adult business over the Internet has opened up other opportunities for Wellux. With global supply of products being provided by a limited number of companies, the same small number of manufacturers supplies nearly all outlets for adult products. As a result, nearly everybody is offering the same products. This increased demand means long delays in delivery for the goods ordered. Wellux is perfectly positioned with new and innovative products, offering something new to the market. This has already proven to be attractive to adult product end-user suppliers. Warehousing our products at our Wellux facilities in Europe and Asia also means that goods can be delivered within reasonable and acceptable time limits, thus further enhancing the Wellux name and reputation within the industry.

The nature of the adult business is becoming more and more mainstream, and Wellux feels that its own expertise combined with the ever-increasing number of opportunities in relation to the internet means greater profitability for the future. This, however does not exclude other business ventures when resource are available and the appropriate synergies apply.

On a company level, Beacon Light announced that it has filed its Form 10-SB with the Securities and Exchange Commission on March 24, 2000. The Form 10-SB is the first step in the company's plans to be fully reporting and be re-listed on the NASD's OTC Bulletin Board. A copy of the Form 10-SB can be obtained from www.edgar.com.

Safe Harbor Disclosure

This Press Release contains or incorporates by reference ``forward-looking statements,'' including certain information with respect to plans and strategies of Beacon Light Holding Corporation. For this purpose, any statements contained herein or incorporated herein by reference that are not statements of historical facts may be deemed to be forward-looking statements. Without limiting the foregoing, the ``believes,'' ``anticipates,'' ``plans,'' ``expects'', ``enhanced'' and similar expressions are intended to identify forward looking statements. There are a number of important factors that could cause actual events or actual results of Beacon Light to differ materially from these indicated by such forward-looking statements.

For further information about Beacon Light, please contact Hans Lodders in Hong Kong at (+852)2331-2160 or Jerry Gruenbaum in the US at (+1)860-249-7008.



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