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Subject: A Look at Eagle Ventures (EGVI) - March13, 2008



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Eagle Ventures' (EGVI) has a growth initiative aimed at increasing the company's revenues to over $60 million for 2008. Thanks to last year’s strategic operational changes and the integration in the first quarter of 2008 of a state-of-the-art VoIP platform, CRM, billing and global payment processing systems.


Eagle Ventures International (EGVI)

Websites: www.telextremeglobal.com

www.hydrate2o.com

www.eagleventuresinc.com

Connecting People, Technology and Opportunity!


Overview

Eagle Ventures (EGVI) is the parent company of a high growth global Voice-over-Internet Protocol (VoIP) service started in 2004 called TelExtreme as well as Hydrate2o, a water that uses a patent pending technology combined with organic mineral electrolytes that actually changes the physical properties of the water so it is more efficiently absorbed into the cells of your body.

EGVI's subsidiaries have grown from a handful of customers and distributors in 2005 to nearly 50,000 in 2007. With sales exceeding $30 million in 2007, the Company has begun aggressively expanding into new markets and is introducing complimentary product lines.

TelExteme is in the fast growing telecommunications business offering three types of VoIP service: residential, international, and pre-paid “pay as you go” calling plans, to both business and individual customers.

To date, TelExtreme’s revenues have been generated primarily in Brazil, with lesser contributions coming from Mexico and Malaysia. This has helped the company fine tune their sales and marketing effort, as well as generate outstanding financial results in a very short time. In January, the Company announced the introduction of service to the United States, where VoIP usage is expected to increase 60% to nearly 32 million customers over the next two years industry-wide. The Company plans to enter up to a dozen other high-growth markets this year.

Hydrate2o which was was founded in 2005, markets its products to consumers through major retailers including Albertson's, SaveMarts, and Nike to name a few. The Company's initial marketing efforts are focused on the West Coast to maximize early stage market penetration.


EGVI Investor Highlights

  • EGVI's subsidiaries have grown from a handful of customers and distributors in 2005 to nearly 50,000 in 2007. With sales exceeding $30 million in 2007, the Company has begun aggressively expanding into new markets and is introducing complimentary product lines.
  • TelExtreme intends to reproduce in the U.S. the very sales/marketing model that has generated great success in overseas markets, where sales rose from $30.1 million in 2006 to a projected $40+ million in 2007, with the increase being primarily attributable to penetration into the Mexican and Latin American markets.
  • Recently announced it will be offering its first voice-over-Internet-protocol (VoIP) services within the United States by January 31st. The decision to enter the fast-growing U.S. VoIP market is part of a growth initiative aimed at increasing the company's revenues to over $60 million for 2008.
  • Hydrate2o which was was founded in 2005, markets its products to consumers through major retailers including Albertson's, SaveMarts, and Nike.
  • Recently announced the addition of Mr. Paul R. Peterson as Chief Financial Officer. Mr. Peterson has a penchant for international business development, having served client companies and investors in Japan, China and Russia on behalf of Merrill Lynch and Merrill Lynch International Bank.

Subsidiaries

TelExtreme Inc.

TelExtreme is an international marketing and sales company in the communications industry and is a wholly-owned subsidiary of EGVI. The Company offers VoIP (Voice Over Internet Protocol) application services to broadband and WiFi (Wireless Fidelity) customers in the consumer and small business markets. Eagle is optimistic about its future because of the timing of these emerging opportunities in both the U.S. and international marketplace.

One of the most exciting details of TelExtreme’s business model is the fact that they incur very low customer acquisition costs by using a direct sales approach. EVGI pays out 50% of their retail revenue to a growing network of independent global distributors, with calling plans that start at $39.95 per month. Whereas Vonage and other large VoIP players spend $250-$360 to acquire a new customer, TelExtreme has reduced their cost to add a new customer to about $100.

 

The ability to acquire customers so effectively provides EGVI with a tremendous competitive advantage over their bigger competitors. As EGVI meets their business’ growth objectives, and as revenues grow so should their share value.

Industry trends show an outstanding measure of growth potential for both VoIP and broadband. The Company is positioned to leverage this growth with unique distribution strategies into niche markets to leverage the value of the technology. TelExtreme believes it can expand its position with an early-mover advantage offering technology “packaged” with a business opportunity. Through innovative market penetration programs, the Company expects to build on its loyal affiliate base with higher than average retention.

TelExtreme is positioning itself for continued expansion into a number of countries and markets including Europe, Asia, the Middle East, and South America. It is expected that management will carry out an aggressive plan implementing full operations and infrastructure in other high growth potential markets over the next 12-18 months.

Hydrate2o

Store Locations for Hydrate2o

Hydrate2o, Inc. was founded in 2005, and is a Nevada C Corporation, and a wholly-owned subsidiary of EGVI. Hydrate2o owns exclusive rights to market a patent pending performance water product that has proven to provide superior hydration in head to head clinical trials with major competing water products.

What makes Hydrate2o so different from all the other waters on the market today? Why should you invest more to purchase Hydrate2o as opposed to buying inexpensive, commodity water that seems to be everywhere?

Simply put, Hydrat2o uses a patent pending technology combined with organic mineral electrolytes that actually changes the physical properties of the water so it is more efficiently absorbed into the cells of your body. Bottom line, Hydrate2o's water will hydrate you quicker which optimizes your physical & mental performance. The Company has proven through clinical studies conducted in accordance with FDA standards, not to mention positive feed back that comes in almost daily from consumers as well as highly trained athletes.

The Beverage Marketing Corporation (BMC) and Intl. Bottled Water Assoc. (IBWA) state that the US sales and consumption of bottled water continues to rise. The sales in the US alone have increased almost a billion dollars in sales each year over the last 7 years. 2007 is approaching $12 billion in US sales with a projection of $45 billion within the next 6 years. Globally the bottled water market is estimated at over $100 billion in sales.

Today bottled water is the fastest-growing beverage category in the world and the preferred beverage of choice in our present on-the-go society. The sports drink market is projected to be the 2nd fastest growing beverage over the next 5 years, behind bottled water. Hydrate2o's strengths lie in its superior product and underlying technology, along with a solid core management team with industry specific experience and success.

In addition to its flagship Hydrate2o high performance water, the Company is developing a "sports" performance water to compete directly with Gatorade and similar enhanced water and juice based products.


Recent News and Press Releases

Eagle Ventures International Hires New Chief Financial Officer

Eagle Ventures Intl. to Enter Fast-Growing United States VoIP Market


Outlook

In 2005, their first full year of operations, TelExtreme generated $3.4 million in sales. By year-end 2006, revenues ramped up to $30 million which generated over $2.5 million in EBITDA, and approximately $2 million in net income. In the 3rd and 4th quarters of 2007, TelExtreme invested heavily into migrating from third party vendors to reduce their operating costs by nearly 60% on a forward-going basis, and implemented strategic improvements to the affiliate compensation plan, which immediately resulted in the reduction in turnover of sales affiliates and customers to nearly zero. 

 

Thanks to last year’s strategic operational changes and the integration in the first quarter of 2008 of a state-of-the-art VoIP platform, CRM, billing and global payment processing systems, combined with the decision to enter the fast-growing U.S. VoIP market and the result is that EGVI is aiming to increase the company's revenues to over $60 million for 2008.

 

Eagle Ventures International successfully connects people to opportunities, services and products that exemplify a forward-thinking philosophy, backed by cutting edge technology. Setting the standard for excellence and having set the stage for global growth and expansion, EGVI represents tremendous opportunity for investors and affiliates to capitalize on Eagle's penetration of some of the world's fastest-growing multi-billion dollar industries. 

 

Eagle Ventures International appears to represent an excellent speculative opportunity given the current dynamic growth rate being achieved by their profitable TelExtreme subsidiary.


Contacts

Eagle Ventures International

923 South Bridgeway Place
Suite 260
Eagle, ID 83616
 
Phone: 208-639-8900
email: info@eagleventuresinc.com

To read more about EGVI Visit here


 

 

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