Attached files
| file | filename |
|---|---|
| 8-K - DRINKS AMERICAS HOLDINGS, LTD | v189931_8-k.htm |
Dear
Shareholder,
As
promised, we want to continue to keep you apprised of ongoing progress at Drinks
Americas. Fiscal 2011 promises to be an exciting year for Drinks
Americas.
Recently,
we filed a form 8K with the SEC describing that Drinks Americas amended and
restated the Company’s Certificate of Designation of Preference, Rights and
Limitations of our Series A Convertible Preferred Stock in return for the
issuance of 12 million shares to the holders. In effect, for a very small
investment of common stock, this amended agreement removes various blockers,
ratchet provisions and clauses that, having been removed, will result in the
prevention of a substantial amount of potential dilution on a forward going
basis. The details of the agreement can be found in our June 30th
8K. We are very happy to have reached this agreement with Enable
Capital.
In
addition, continuing to focus on the reduction of Drinks debt, we are working to
resolve our few matters of litigation. Our litigation with Bruni Glass was
resolved as reported. We are also happy to report that the matter of Drinks vs.
Sokol has been settled to the satisfaction of both parties.
We can
also report that in the matter of Drinks vs. Liquor Group the arbitration was
suspended by the Arbitrator due to Liquor Group’s failure to pay all appropriate
fees or deposits by May 24, 2010. The Arbitrator gave an extension of time
until June 10, 2010 for all fees and deposits to be paid, which deadline Liquor
Group again missed. On June 16, 2010, Liquor Group’s attorney requested an
extension, stating:
“.
. . we have been unable to reach our client with regard to the remaining balance
due for the hearing scheduled on June 23, 2010. I apologize for this
inconvenience, and respectfully request that a 30 day extension be granted for
payment unto the American Arbitration Association by our client and that the
hearing be rescheduled to another mutually agreed date and time. . .
“
Drinks
Americas had duly paid all fees and deposits and was fully prepared to go
forward with the arbitration.
On a
sales front, our most recent production cycle of Olifant has arrived with five
thousand cases clearing customs and being distributed to national markets by our
partner Mexcor International Wine and Spirits. 1600 cases have also been
delivered to the Save Mart Chain in California.
Since the
consummation of our Mexcor venture, we have also sold 1073 cases of Old Whiskey
River and over 1000 cases of Damiana for which Drinks has been credited with
over $36,102 of royalties for these sales. This month, Olifant and
Trump Vodka shipments will arrive in Texas to add to our revenue
stream.
Finally,
Drinks has had approved exciting new Rheingold labels and we are completing our
Rheingold promotional, website and roll out program, the details of which we
will discuss during our upcoming year-end earnings call.
Kindest
Regards,
J.
Patrick Kenny
President
and CEO
Drinks
Americas, Inc.