Newgen Concepts Inc (OTCMKTS:VPOR) released a letter to shareholders from its CEO and President, Yaniv Nahon. The CEO mentioned that they are aware that market participants are worried due to recent events at the firm, and are seeking clarification and additional information. As company’s new President, he has taken this opportunity to try to resolve some of these concerns.
Under terms of an exclusive global distribution deal with EZ Grinder, Inc. is the sole global supplier of Easy Grinder™. It will continue to be the same for the imminent period. As per the contract terms, Newgen hold the rights to distribute and manufacture Easy Grinder™. Since its market launch this year, the company has been able to ship as many as 12,000 Easy Grinders to date.
Previously, the company had reported that they had commitments from suppliers for the purchase of many more. But, the company faced grave limitations on what they were able to ship against supplier commitments following the pre-production need to redesign major components of the grinder, which deferred the start of preliminary production and decelerated factory output. This in turn, led in higher manufacturing expenses and subsequent increases in retail and wholesale pricing.
Consequently, numerous supplier reduced the orders size, backed off on commitments, or finalized to defer acceptance of shipments of the higher priced offering until they could show market acceptance of Easy Grinder™. Today, Newgen team consider they have proven that there is an extensive market for superior grinder and that company’s sales of Easy Grinder™ will prevail to grow year-over-year.
The team is confident in their assessment dependent on the positive responses Easy Grinder™ has obtained in sales, online reviews and from attendees at the popular BIG Industry Show in NY City in August, and the CHAMPS Trade Show and ASD Market Week in Las Vegas in July. In addition, the company is working on deals with overseas suppliers for Easy Grinder™, and are working hard to expand press coverage and distribution in order to enhance preference for, and consumer knowledge of, Easy Grinder™.