Globalworth Regulatory News (GWI)

27 Nov 2007 16:42

Genesis Worldwide Inc. Announces Commissioning of New Production Facility in Tehran, Iran

Genesis Meets its Goal of Commissioning Three Plants in 2007

MISSISSAUGA, ON, Nov. 27 /CNW/ - Genesis Worldwide Inc. ("Genesis" or the "Company"), , a leader in "green" structural building technology aimed at the residential, commercial and institutional building markets, today announced the commissioning of the new production facility of its licensee, Behsazeh Construction Engineering Co. ("Behsazeh"), in Tehran, Iran.

Behsazeh, an Iranian building construction company, recognized the need for alternative safe building technologies due, in part, to the frequent seismic activity in Iran. The new plant will also enable Behsazeh to build residences and institutional buildings with greater efficiency and speed.

Iran requires safe schools and housing for its population. Behsazeh has responded to these needs by building its new production facility specifically to produce light steel structural frames. Using the Genesis Solution, a turn-key solution which includes leading-edge software, industrial equipment, hardware, processes and engineering services, Behsazeh will utilize the latest version of the C4 custom panel fabrication line, which is a key element of the Genesis technology package. C4 is a light steel panel assembly line which is designed to maximize production and maintain quality control.

As part of the Genesis Solution, Behsazeh will also receive assistance from a team of Genesis experts that support project management and implementation services. The implementation services provided to Behsazeh are designed to support and guide the plant staff through the initial planning, installation and commissioning of the production facility, as well as offering all training necessary for plant operations.

One of the major selling points of Genesis technology in Iran is the flexibility and ability of light steel structural frames to withstand considerable seismic activity. The ever-present potential for earthquakes in Iran makes the Genesis Solution a superior choice for building, due to the structural integrity of its products.

In addition to the upfront licensing fee, Genesis will receive ongoing quarterly royalty fees from Behsazeh, and fees from the sale of manufacturing equipment, and for services provided by Genesis such as training, engineering and support when required.

Genesis President and CEO, Vince Mifsud, sees the commissioning of the Behsazeh plant as yet another significant step in Genesis' growth. "This is another important milestone in the growth of our company by expanding our licensees globally. We are very optimistic about the growth opportunity in the Iranian building market." Mr. Mifsud added, "This is the third plant that we have commissioned in 2007, and therefore we have successfully met our goal of commissioning three plants by year end."

Mohammadali A. Gholitabar, General Manager of Behsazeh, says he believes that by joining the international network of Genesis' licensees, Behsazeh's key goals can now be achieved. "Our business objective is to be the leading building manufacturer in Iran and local regions, with a building solution that is not only quick to assemble but also built to withstand the seismic activity common to the geography of Iran," said Mr. Gholitabar. "Our agreement and ongoing relationship with Genesis is an ideal partnership because of its superior products and services and the ongoing support that they provide. Recently, the Genesis implementation team was here in Tehran to assist us in our plant setup and we are now poised to meet our stated objectives. We are in negotiations with the government and other potential clients and are extremely optimistic about the numerous opportunities in Iran," added Mr. Gholitabar.

About Genesis Worldwide Inc.

Genesis develops and licenses structural building technology aimed at the residential, commercial and institutional building markets. Genesis offers licensees a turn-key solution enabling them to custom design, manufacture and install complete light steel building structures. The Genesis Solution encompasses engineered processes and materials that are environmentally sustainable or "green". Genesis is headquartered in Mississauga, Ontario, Canada and currently has seven licensees worldwide. For additional information about the Company, visit www.genesisworldwide.com.

Forward-Looking Information

Certain statements contained in this press release constitute forward-looking information within the meaning of securities laws. Forward-looking information may relate to the Company's future outlook and anticipated events or results and, in some cases, can be identified by terminology such as "may", "will", "should", "expect", "plan", "anticipate", "believe", "intend", "estimate", "predict", "potential", "continue" or other similar expressions concerning matters that are not historical facts. These statements are based on certain factors and assumptions including expected growth, results of operations, performance and business prospects and opportunities. While the Company considers these assumptions to be reasonable based on information currently available to us, they may prove to be incorrect. Forward-looking information is also subject to certain factors, including risks and uncertainties that could cause actual results to differ materially from what we currently expect. These factors include changes in market and competition, governmental or regulatory developments and general economic conditions. Additional information identifying risks and uncertainties relating to the Company, its business and prospects are contained in Genesis' prospectus filed with the Canadian securities regulatory authorities, available at www.sedar.com.

For further information: Genesis Worldwide Inc.: Catherine Smyth, Manager, Investor Relations, Tel: (905) 285-9909, ext. 302 or Canaccord Adams: Robert Finlay, Erin Needra, Tel: +44-020-7050-6500 (GWI. GWI)