Premix and its predecessors has been in business for over half a century. The names "Premix" and "Premix-Marbletite"
are among the registered trademarks of Premix. We believe the trade names of our manufactured products represent a substantial
benefit to the Company because of industry recognition and brand preference. Premix manufactures stucco, roof tile mortar,
plaster, swimming pool, and deck finishes. The products manufactured by Premix basically are a combination of Portland (or
masonry) cement, sand, lime, marble and a plasticizing agent and other chemicals, including color-impregnation materials.
In August 1994, the Company entered into a five year licensing agreement with an unaffiliated company to exclusively manufacture
and sell a new roof tile mortar product through the state of Florida and foreign countries. To date, a majority of all roof
tile mortar sales have been derived from South Florida. Until 1996, the Company's licensed roof tile mortar product was the
only mortar product approved by Dade County, Florida building authorities for use to adhere all types of cement roof tiles
to roofs. In 1997, the Company's roof tile mortar was approved by the Broward and Palm Beach County building authorities along
with other competitive products. Other adhesive products used for similar purposes are also used by the industry. The Company
has expanded its marketing efforts for this product to other areas of Florida based on product performance rather than as
required by building code requirements.
The Company's marketing and sales strategy
is to create a profit center for the products it manufactures, as well as enlarging its product offering by selling certain
complementary products manufactured by other companies that are part of wall system applications. The complementary items
are purchased by the Company and held in inventory, together with manufactured products, for sale to customers. Generally,
sales orders are filled out of existing inventory within several days of receipt of the order. The total package sales approach
to the new and renovation construction market is targeted at both the end user of the Company's products, being primarily
the contractor or subcontractor, and the distributor, principally building materials dealers who purchase products from the
Company and sell to the end user, and in some instance, to the customers. A majority of the Company's sales are made directly
by the Company to approximately 250 distributors.
While the Company's sales are typically to distributors, the Coompany
focuses on marketing efforts on the contractor/subcontractor end user to create a brand preference for the Company's products.
The Company primarily markets its products to distributors through Company salesmen, who promote both Premix and Acrocrete
products, located in the Southeastern United States.
It remains our mission to manufacture
and sell a diverse line of high quality cement based specialty products in the pool, deck, stucco, roof and interior markets
that provide the best value per square foot installed; to continually develop products that enhance longevity due to their
chemical composition and user characteristics enabling application techniques to keep pace with the construction industry;
and, to develop and introduce leading edge products for increased market share and profitability in the construction industry.