NEW YORK, April 12 /PRNewswire/ --
-- March Aggregate Sales Figures Exceed Pre-Sale Estimates by 49%
Escala Group (Nasdaq: ESCL) today announced that its North American Philatelic Division generated aggregate sales of US$7.3 million for its six auctions in March, a realization 49% higher than the pre-sale aggregate sales estimate of US$4.9 million. These auctions included a specialized sale of intact collections of the world by Greg Manning Auctions (GMA) on March 18, which realized US$3.8 million in aggregate sales, or 41% above the pre-sale estimate of US$2.7 million. This auction, in which 90% of the lots sold by dollar value, was the highest grossing GMA Collections auction in nine years, and global collectors from Australia, Denmark, Canada, the Netherlands, the UK, Spain and Germany attended the auction, creating a spirited bidding environment.
Greg Manning, President of the North American and Asian Philatelic Auction Division and First Vice-Chairman of Escala Group, stated, "Our March auctions' price levels and sell-through rates surpassed expectations across every auction. The Don Gaspar Roca Collection, sold by H.R. Harmer and comprised solely of the postal history of Puerto Rico, realized US$705,000 with a 100% of its 737 lots finding a new owner. These final aggregate sales results exceeded our pre-sale estimate of US$550,000 by 28%. Another H.R. Harmer auction, the Georgetown Collection, realized US$590,000, or more than double the pre-sale estimate of US$250,000, with a 96% sell-through rate by dollar value. The current demand for United States and worldwide stamps is at an unprecedented level, with strong competition exhibited on almost every lot. The market continues to be dominated by a healthy mix of collectors, professional dealers and investors looking for better grade material in the market."
Greg Manning continued, "We are now looking forward to the four auctions that Greg Manning Auctions and H.R. Harmer will be conducting during the Washington 2006 World Exhibition, being held from May 27 through June 3, 2006, in Washington DC. These auctions will contain both great intact collections and individual rarities of the world. We will also hold a fabulous specialized auction of Dominican Republic stamps and postal history, with an important advanced intact collection of the Dominican Republic formed by Fernando Baez being featured. We expect that these auctions will draw the interest of many of the forecasted 150,000 visitors to this once-per-decade international exhibition."
About Escala Group, Inc.
Escala Group is a global network of leading companies in the collectibles market with operations in North America, Europe and Asia as well as on the Internet. The company operates through a number of subsidiaries that specialize in various sectors of the collectibles markets, and is comprised of three business areas: auctions, merchant/dealer operations and trading.
Escala Group's North American auction and retail operations include Greg Manning Auctions division, Ivy & Manning Philatelic Auctions, Greg Manning Galleries, Greg Martin Auctions, Teletrade, Nutmeg Stamp Sales, Superior Sports, Bowers and Merena Auctions, North American Certified Trading, and H.R. Harmer. In Europe, the leading auction houses affiliated with the network are Auctentia Subastas (Afinsa Auctions) of Madrid, Spain; Corinphila Auktionen of Zurich, Switzerland; and the Koehler group of auction companies of Berlin and Wiesbaden, Germany. In Asia, Escala Group's auction operations are conducted through John Bull Stamp Auctions, Ltd, the oldest philatelic auction house in Hong Kong.
Merchant/dealer activities are conducted through Greg Manning Auctions and Central de Compras Coleccionables, S.L. of Madrid, which act as exclusive suppliers of philatelic material on a worldwide basis to Afinsa Bienes Tangibles, S.A. of Madrid, Spain, and through Spectrum Numismatics International, one of the largest wholesalers of rare coins in the U.S. Afinsa is Escala Group's majority shareholder.
The trading activities of Escala Group are conducted through A-Mark Precious Metals, one of the largest private sellers of bullion coins and bullion gold, silver and platinum to the wholesale marketplace.
SAFE HARBOR STATEMENT
Statements in this press release that relate to future plans, objectives, expectations, performance, events and the like are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and the Securities Exchange Act of 1934. Future events, risks and uncertainties, individually or in the aggregate, could cause actual results to differ materially from those expressed or implied in these statements. Factors that may cause such differences include changes in market conditions, changes in economic environment, competitive factors and the other factors discussed in the "forward-looking information" or "risk factors" sections included in Escala Group's filings with the Securities and Exchange Commission, including Escala Group's Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, prospectuses and other documents that Escala Group has filed with the Commission. In particular, any statement related to Escala Group's expected revenues or earnings or Escala Group's being well positioned for future profitability and growth are forward-looking statements.
The words "should," "believe," "estimate," "expect," "intend," "anticipate," "foresee," "plan" and similar expressions and variations thereof identify certain of such forward- looking statements, which speak only as of the dates on which they were made. Additionally, any statements related to future improved performance and estimates of revenues and earnings per share are forward-looking statements. Escala Group undertakes no obligation to publicly update or revise any forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements.
Perry Hall, +1-212-421-9400, phall@escalgroup.com
