DALLAS, Aug. 24, 2012 /PRNewswire/ -- Firemans
Contractors, Inc. (OTCBB: FRCN) (OTCQB: FRCN), a commercial
contractor offering B2B commercial franchises and services in the
pavement maintenance and parking lot maintenance industry,
announced today that the company will leverage its newly
launched franchise model to bid on $17
billion in TIFIA (Transportation Infrastructure Finance and
Innovation Act) projects; allowing the company to possibly
secure an additional profit center potentially valued in the
millions per annum.
"We seemed to have initiated our franchise model none too soon,"
stated Renee Gilmore, CEO of
Firemans Contractors. "New government initiatives are creating more
opportunities for mid-sized companies like ours to secure lucrative
infrastructure contracts nationwide. Using our franchise model to
promote rapid expansion, we could be more readily available
anywhere in the country; and possibly more competitive than larger
non-franchised operators."
Firemans Contractors expects that the new highway law known as
'MAP-21' will likely expand the TIFIA by $1.7 billion over the next
24 months. According to the U.S. Department of Transportation,
TIFIA, which provides credit assistance to states in the form of
direct loans for infrastructure projects, will provide up to
ten dollars in assistance for every
dollar worth of seed money. Ray
LaHood, the U.S. Transportation Secretary was noted as
saying, "The $17 billion could
potentially leverage another $20-$30
billion in infrastructure investment during the two-year
life of MAP-21, making it the largest infrastructure loan program
in U.S. history."
People close to the company suggest that this TIFIA action
benefits the company in two dynamic ways. On one hand, Firemans
Contractors has the ability to formidably compete with larger
competitors insomuch that its smaller size and new franchise model
allows for greater flexibility in bidding on contracts. On the
other hand, larger companies may tend to commit their resources in
seeking to be dominators of the near $30
billion governmental infrastructure build. This pursuit
will further open up the mid market for Firemans Contractors to
secure a greater number of the Fortune 500 companies the company
already maintains as clients.
Mrs. Gilmore concluded, "The TIFIA expansion should prove to be
a big win for us regardless of how the prospects of bidding for
contracts evolve. If we get the opportunity to demonstrate our
ability as a top rated mid-sized pavement and infrastructure
maintenance company, then we've just contributed to the growth of
shareholder value and confidence. If the TIFIA expansion leaves a
gap in the marketplace, allowing us to more easily secure a
foothold where the big guys have abandoned their post, we then
again get the chance to increase the bottom line while increasing
our client portfolio, growing shareholder confidence and building
greater value. If both possibilities occur, then our franchise
model will allow us to expand quickly, helping to ensure that
Firemans Contractors continues to grow as a trusted resource in the
pavement and infrastructure maintenance marketplace."
About TIFIA
The Transportation Infrastructure Finance and Innovation Act
(TIFIA) program provides Federal credit assistance in the form of
direct loans, loan guarantees, and standby lines of credit to
finance surface transportation projects of national and regional
significance. TIFIA credit assistance provides improved access to
capital markets, flexible repayment terms, and potentially more
favorable interest rates than can be found in private capital
markets for similar instruments. TIFIA can help advance qualified,
large-scale projects that otherwise might be delayed or deferred
because of size, complexity, or uncertainty over the timing of
revenues. Many surface transportation projects - highway, transit,
railroad, intermodal freight, and port access - are eligible for
assistance. Each dollar of Federal funds can provide up to
$10 in TIFIA credit assistance - and
leverage $30 in transportation
infrastructure investment. Pursuant to the recently enacted
Moving Ahead for Progress in the 21st Century Act (MAP-21), DOT
announced the availability of funding authorized in the amount of
$1.75 billion ($750 million in Federal Fiscal Year (FY) 2013
funds and $1 billion in FY 2014 funds
(and any funds that may be available from prior fiscal years)) to
provide TIFIA credit assistance for eligible projects. Projects
must meet statutorily specified eligibility criteria to receive
credit assistance. The Notice of Funding Availability (NOFA),
published on July 31, 2012, outlines
the process that applicants must follow.
About Firemans Contractors:
Firemans Contractors, Inc. (OTCBB: FRCN) is a full-service
contractor providing professional services for commercial and
government clients, offering Business to Business Franchise
Opportunities. Its services include Road Improvements, Pavement
Maintenance, Seal Coating, Parking Lot Striping, Pavement Marking,
Asphalt Maintenance and Repair, and ADA Compliance. Firemans
Contractors has completed its FDD requirements with the Federal
Trade Commission and has developed franchise territories across the
U.S. The company's goal is to develop hundreds of new franchise
locations in the next 24 to 48 months. Firemans Contractors
brings a professional value system delivering outstanding results
through honorable customer relationships and repeat business. Local
firefighters are supported by a portion of profits which are
donated to local Firefighter Associations. For more information
about Firemans Contractors, visit: www.FiremansContractors.com
Founded by a Firefighter, Firemans Contractors -- Contractors
You Can Trust ®
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 Act of 1934. These forward-looking
statements are based largely on the expectations or forecasts of
future events, can be affected by inaccurate assumptions, and are
subject to various business risks and known and unknown
uncertainties, a number of which are beyond the control of
management. Therefore, actual results could differ materially from
the forward-looking statements contained in this press release.
Additional information respecting the factors that could materially
affect the Company and its operations are contained in its annual
report on Form 10K and Form 10-Q as filed with the Securities and
Exchange Commission. The Company undertakes no obligation to
publicly update or revise any forward-looking statement.
For more information, contact:
Firemans Contractors, Inc.
2406 Gravel Road
Fort Worth, TX 76118
Phone: 800-475-1479
info@FiremansContractors.com
Public Relations Contact:
Danielle O'Neal
PR@FiremansContractors.com
Phone: 800-475-1479
SOURCE Firemans Contractors, Inc.
