Contact Information:


The Stephan Co.


1850 W. McNab Rd.


Ft. Lauderdale, FL 33309


Mail to: steverolle@thestephanco.com         


Steve Rolle, Chief Financial Officer
954-971-0600


 


The Stephan Co. Announces Release Date of Annual Financial Statements


 


Fort Lauderdale, Florida – May 22, 2013 - The Stephan Co. (the “Company”) (OTC Pink Market:  SPCO) today announced that the year ended December 31, 2012 Audited Financial Statements of the Company will be posted on the Company's web site before the end of July 2013. 


 


The Company's audit is proceeding normally.  The audit was not commenced until May, 2013, after the normal audit season.  The Company purposely commenced the audit after the normal audit season, in order to obtain more favorable audit fees. 


 


As reported on its Form 10-K for the Year Ended December 31, 2008, the Company has been engaged in the defense of two litigation matters.  


 


Trevor Sorbie International, Plc. (“TSI”) instituted litigation against the Company in March 2007, by a case styled Trevor Sorbie International, Plc. v. Sorbie Acquisition Co. (Case No. 05-14908-09), filed in the Circuit Court of the 17th Judicial Circuit in and for Broward County, Florida.  The trial for this matter was concluded on May 9, 2013 and a decision of the Court is expected within sixty days.  The Company is unable to predict the outcome of the litigation.  In the litigation, TSI sought to collect against the Company a judgment TSI has against Sorbie Acquisition Co. (“SAC”, a subsidiary of the Company).  The judgment, totaling approximately $2,000,000 with interest to date, derived from an October 25, 2004, Pennsylvania arbitration award in favor of TSI and against SAC with respect to certain royalties and interest due.  The lawsuit alleged fraud and named as additional defendants The Stephan Co., Trevor Sorbie of America, Inc. and Sorbie Distributing Corporation, also subsidiaries of the Company.  The financial statements for the Company for the year ended December 31, 2011, reflected a liability of $620,000 relating to the litigation.  The Company is not able to predict what, if any, damages the Court may award against it.  


 


Shaheen & Co., Inc., instituted litigation against the Company in July 6, 2005, by a case styled Shaheen & Co., Inc. v. The Stephan Co., (Case No. 05-15175) filed in the Circuit Court of the 17th Judicial Circuit in and for Broward County, Florida.  The trial for this matter was concluded on May 14, 2013, closing arguments are to be submitted in writing by May 29, 2013 and a decision of the Court is expected within sixty days.  The Company is unable to predict the outcome of the litigation.   In the litigation, Shaheen & Co., the owner of a building formerly leased by the Company in Danville, Illinois, sought damages of approximately $1,500,000, consisting of physical damages to the building and rent due through the expiration of the lease that Shaheen & Co. alleges was wrongfully terminated by the Company.  The Company maintains that it had a right to terminate the lease on 90 days notice.  Mr. Shouky A. Shaheen, a minority owner of Shaheen & Co., Inc. was formerly a member of the Company's Board of Directors and is a significant shareholder of the Company.  The Company is not able to predict what, if any, damages the Court may award against it.


 


Michael Smith, President and Chief Executive Officer of the Company, further stated: “The Company looks forward to posting its audited statements for year ended December 31, 2012.  With the conclusion of the two legacy litigations, management will be able to devote all its time and efforts to growing the Company's business.”


 


About The Stephan Co.


The Stephan Co. (OTC Pink Market: SPCO) is the manufacturer of beauty and grooming products and has been serving beauty and barber industry since 1897.  The Company’s web site is www.thestephanco.com.


Certain statements and information included in this press release constitute “forward-looking statements” within the meaning of the Federal Private Securities Litigation Reform Act of 1995. When used in this press release, the words or phrases “will likely result,” “are expected to,” “will continue,” “is anticipated,” “estimate,” “projected,” “intend to” or similar expressions are intended to identify “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements are subject to certain risks, known and unknown, and uncertainties, including but not limited to economic conditions, dependence on management, our ability to compete with competitors, dilution to shareholders, and limited capital resources.


Stephan (PK) (USOTC:SPCO)
Historical Stock Chart
From Mar 2025 to Apr 2025 Click Here for more Stephan (PK) Charts.
Stephan (PK) (USOTC:SPCO)
Historical Stock Chart
From Apr 2024 to Apr 2025 Click Here for more Stephan (PK) Charts.