SOURCE: Sparta Commercial Services, Inc. (Via Marketwire)
NEW YORK, NY--(Marketwire - October 28, 2010) - Sparta Commercial Services, Inc. (OTCBB: SRCO) reported today that the early response from powersports dealers to the Company's recent announcement of a new consumer lease program focusing on subprime customers has been met with much greater enthusiasm than originally anticipated.
Commenting on this development, Anthony Havens, Sparta's CEO, said, "As soon as we revealed our plans for this program and the fact that the launch was imminent, we immediately began receiving inquiries and requests about and for the program from motorcycle dealers throughout the country, and the numbers far exceeded our expectations. That reaction strongly reaffirmed our belief in the need and timeliness of this new program, and we plan to meet that demand as rapidly as possible."
Sparta is launching this program initially in twelve states; Alabama, Arizona, California, Florida, Georgia, Nevada, North Carolina, North Dakota, Ohio, South Carolina, Texas, and Utah. These states were selected from Sparta's nationwide Authorized Sparta Dealer network based on an internal analysis of states with the heaviest projected demand. The Company plans to expand the program to additional states in a phased rollout, with the order again based on projected demand and seasonal adjustments.
In concluding his remarks, Havens added, "The market segment that we're addressing with this new program is the very large number of consumers whose credit worthiness isn't necessarily poor, but simply can't meet the ever more stringent requirements of other lenders. We recognized that this huge group of motorcycle enthusiasts was being unfairly kept out of the market and we decided to step in and fill that void. It meets the needs of a large block of consumers and powersports dealers and strengthens Sparta's position in the marketplace."
About Sparta Commercial Services, Inc. Sparta Commercial Services, Inc. (OTCBB: SRCO) is a New York-based, nationwide financial services company dedicated to municipal and governmental leasing. Sparta specializes in the financing of essential equipment and services for the law enforcement and emergency response communities. Sparta also offers financing and leasing products to consumers and retail powersports dealers. Additionally, through Specialty Reports, Inc., a Sparta subsidiary, the company owns and operates Cyclechex, the first and only source exclusively for Motorcycle History Reports in the powersports industry. The Cyclechex Motorcycle History Reports appeal to consumers, retail dealers, lenders, auction houses, and insurance carriers.
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such statements are valid only as of today and we disclaim any obligation to update this information. Actual results may differ significantly from management's expectations. These forward-looking statements involve risks and uncertainties that include, among others, risks related to potential future losses, obtaining, satisfying terms of, and amount of credit lines, competition, financing and commercial agreements and strategic alliances, seasonality, potential fluctuations in operating results and rate of growth, management of potential growth, system interruption, consumer and industry trends, limited operating history, and government regulation. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by the Company or any other person that the objectives and plans of the Company will be achieved. Further information regarding these and other risks is described from time to time in the Company's filings with the SEC, which are available on its website at:http://www.sec.gov.
COO Sparta Commercial Services, Inc.