Collegiate Pacific provided guidance for fiscal years 2004 (ending June 30)and 2005 (commences July 1, 2004). These projections are based on the closings of the acquisitions of Tomark Sports and Kessler Team Sports which are now slated to close in Jan 2004 and March 2004 respectively.

A summary of historic and projected revenues, operating and net
income is listed in the chart below. The 2003 earnings have been tax
effected for comparative purposes. All numbers stated are in millions. 

                                 2003        2004        2005

Revenues                         $21         $38          $76
Operating inc.                   .97         3.1          8.2
Tax rate                          37%         37%          37%
Net inc.                         .57         1.8          5.0


EPS                              see note below

(a) Earnings Per Share Calculations - 2004/2005 - The calculation of
    weighted shares outstanding ranges from 6.5 million to 9.7 million
    depending on the number of the remaining 2.7 million publicly
    traded, outstanding warrants that may be converted, the share
    price of Collegiate Pacific's common stock and the actual number
    of shares that could be issued in either or both acquisitions.

If the remaining warrants are converted and the Company receives
the $13 million in new capital, it is anticipated that the application
of these funds would enhance growth in revenues and earnings. Such
increases have not been factored into these initial projections.

Fiscal Year 04 – Ending June 30, 2004

  • Revenues are forecasted at $38 million vs $21 million representing an 80% increase over FY03 results.
  • Operating income is forecasted to rise 220% to $3.1 million from $970,000 in FY2003
  • Net income is expected to rise to $1.8 million from $570,000 in FY2003 (tax effecting actual 2003 results)
  • Shareholder Equity – 2004 Shareholder equity is expected to rise from $13 million to $33 million as the result of the Tomark and Kessler acquisitions and will rise an additional $13 million if the Company's remaining 2.7 million warrants are exercised.

Fiscal Year 05 Ending June 30, 2005

  • Revenues are forecasted to rise 100% to $76 million
  • Operating income is projected to rise 165% from $3.1 million to $8.2 million
  • Net income is projected at $5 million compared to $1.8 million

Michael Blumenfeld, CEO, said “We remain pleased with current and
projected operations and our entire system is excited about the future
growth of our recently announced acquisitions. These initial forecasts
do not include the anticipated benefits of consolidating Tomark and
Kesslers nor do they include the marketing programs that each entity
would share with each other and Collegiate Pacific. Once Tomark and
Kesslers are settled in our system we will aggressively seek to
acquire additional companies that meet our criteria. Much of the
anticipated revenue growth from each acquired company is expected to
center around our highest margin, proprietary products. We believe
this will produce an accelerated level of profitabiltiy in future
periods.

“The addition of Tomark and Kesslers creates a new operating
platform for Collegiate Pacific. To-be-acquired manufacturing
companies can instantly leverage our vast network of 65,000
institutional customers. To-be-acquired marketing companies can
leverage our enhanced stable of equipment and team uniform products.
We ultimately foresee a highly efficient manufacturing / sourcing arm
of the Company feeding a rapidly expanding sales and distribution
division with high margin proprietary product as well as widely
accepted team branded goods.”