SpongeTech America's Cleaning Company

SpongeTech® Delivery Systems, Inc. to Increase National Marketing and Advertising Budget for Fiscal Year 2010
Monday, June 15, 2009 09:15 AM EDT

NEW YORK, NY (Business Wire) SpongeTech® Delivery Systems, Inc. America’s Cleaning Company™, (OTCBB: SPNG - News) has today announced that its marketing and advertising (”marketing”) budget will be substantially increased to the amount of $20 million for Fiscal Year 2010 (”FY ‘10″). This represents an approximate increase of 150% over the $8 million spent on marketing during the prior fiscal period of 2009 that ended May 31, 2009. Management has opted for this significant marketing budget increase, due to the widespread acceptance of SpongeTech®’s products in the marketplace and the exceptionally high reorder rate from existing customers. The Company is also in the process of launching additional important new products that should drive strong revenue and earnings growth during FY ‘10 and beyond. There will be a sharp increase in television commercials; ESPN will begin airing SpongeTech® commercials this summer during ESPN Sunday Night Baseball.

SpongeTech®’s COO, Steven Moskowitz commented, “Some of the most prestigious U.S. based retailers have started ordering our products because the Company has established a track record of supporting its brand through marketing expenditures. Management has confidently approved the increase in marketing expenditures after carefully analyzing current sales and profitability ratios. With our annualized current cash flows, we should be able to maintain these increase expenditures, while maintaining corporate profitability. The choice to heavily invest in furthering brand equity as well as supporting the launch of new innovative products into the marketplace is paramount to the growth and success of SpongeTech during FY ‘10.”

For more information, please contact Investor Relations at 1-877- SPONGE-T, and/or visit the Company’s website at: www.spongetech.com

About SpongeTech® Delivery Systems, Inc.

SpongeTech® Delivery Systems is a company which designs, produces, and markets unique lines of reusable cleaning products for Car Care, Child Care, Home Care and Pet Care usages. These sponge-like products utilize SpongeTech®’s proprietary, patent (and patent-pending) technologies and other technologies involving hydrophilic (liquid absorbing) foam, polyurethane matrices or other ingredients. The Company’s sponge-like products are pre-loaded with specially formulated ingredients such as soap, conditioner and/or wax that are released when the sponge is soaked and applied to a surface with minimal pressure. SpongeTech® is currently exploring additional applications for its technology in the health, beauty, and medical markets. SpongeTech® Delivery Systems, Inc. intends to globally brand its Company as America’s Cleaning Company(TM).

“Safe Harbor Statement”
Under The Private Securities Litigation Reform Act of 1995: The statements in this presentation that relate to the Company’s expectations with regard to the future impact on the Company’s results from new products in development are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The results anticipated by any or all of these forward-looking statements may not occur. Additional risks and uncertainties are set forth in the Company’s Annual Report on Form 10-KSB for the year ended May 31, 2008, the Company’s Quarterly Report on Form 10-QSB for the Third quarter ended February 28, 2009. The Company undertakes no obligation to publicly release the result of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof, or to reflect the occurrence of unanticipated events or changes in the Company’s plans or expectations.

Contact:

SpongeTech® Delivery Systems, Inc.
Investor Relations:
Bill Young, 1-877-776-6438
wayoung55@aol.com or info@spongetech.com

German IR Contact:
Connecting Markets GmbH
Toll Free: +0800 100 42 92
Fon:  +49 (0) 69 21 65 59 10
Fax:  +49 (0) 69 21 65 59 11
Email:  info@cmir.de

SOURCE: SpongeTech® Delivery Systems, Inc.

This entry was posted on Monday, June 15th, 2009 at 12:55 pm and is filed under Advertising. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.