easyhome Ltd. Celebrates Achieving a $100 Million Consumer Loans Receivable Portfolio at easyfinancial Services
MISSISSAUGA, ONTARIO - (Marketwired - Nov. 19, 2013) - easyhome Ltd. (TSX:EH) ("easyhome" or the "Company"), the Canadian leader in providing goods and financial services to the cash and credit constrained consumer, today announced that the consumer loans receivable portfolio of its easyfinancial Services business now exceeds $100 million.
The Company launched easyfinancial Services in 2006 to provide term financing to consumers who were looking for credit alternatives that were more readily accessible than banks and less costly than payday loans. Since that time, easyfinancial Services has grown to 115 locations and $100 million in loan receivables. The company leverages its sophisticated proprietary credit risk modeling techniques, leading edge technology platforms and local relationship selling to serve a segment of consumers traditionally not offered credit by banks.
"The genesis of easyfinancial in 2006 was to provide an alternative to the proliferation of high cost pay day loans and the denial of credit from mainstream banks in Canada," said David Ingram, easyhome's President & CEO. As the only national supplier of unsecured installment lending to the cash and credit constrained consumer, the Company has set ambitious targets of 225 stores and $250 million in consumer loans receivable by 2016.
"I am proud to recognize our staff in the achievement of this significant milestone," continued Mr. Ingram. "We also want to thank the 65,000 customers who have received over 125,000 loans from easyfinancial over the past seven years."
The Company also announced the opening of a new, 15,000 sq. ft. shared services contact center in Hamilton, Ontario. The shared service contact centre will provide operational support for both the easyhome Leasing and easyfinancial Services business units in areas such as collections, customer retention and customer care and will support the Company's new delivery channels that do not operate with a dedicated local presence. The Company believes that this hybrid structure will allow local operators to continue to provide a strong level of service directly to their customers, and will enable many administrative and support functions to be performed at a reduced cost, employing best practices.
The shared service contact center will service both easyhome Leasing and easyfinancial Services and can support up to 125 agents at capacity. "The launch of the call center is a major milestone in the expansion of our central operations functions," said Jason Mullins, easyfinancial's Senior Vice President of Operations. "The center is equipped with a cloud based telephony solution and other automated technologies so that we can scale the operation quickly and achieve efficiencies in our interaction with our customers."
As at October 31, 2013, easyhome Ltd. operated 234 easyhome leasing stores (including 8 consolidated franchise locations and 53 other franchise locations) and 115 easyfinancial locations.
easyhome Ltd. is the Canadian leader in providing goods and financial services to the cash and credit constrained consumer. easyhome Ltd. serves its customers through two key operating divisions, easyhome Leasing and easyfinancial. easyhome Leasing is Canada's largest merchandise leasing Company, offering top quality, brand-name household furnishings, appliances and home electronic products to consumers under weekly or monthly leasing agreements through both corporate and franchise stores. easyfinancial is a leading provider of consumer loans as an alternative to traditional banks and payday lenders. easyhome Ltd. is listed on the TSX under the symbol 'EH'. For more information, visit www.easyhome.ca.
This news release includes forward-looking statements about easyhome Ltd., including its business operations, strategy and expected financial performance and condition. Forward-looking statements include statements that are predictive in nature, depend upon or refer to future events or conditions, or include words such as 'expects', 'anticipates', 'intends', 'plans', 'believes' or negative versions thereof and similar expressions. In addition, any statement that may be made concerning future financial performance (including revenue, earnings or growth rates), ongoing business strategies or prospects about future events is also a forward-looking statement. Forward-looking statements are based on certain factors and assumptions, including expected growth, results of operations and business prospects and are inherently subject to, among other things, risks, uncertainties and assumptions about our operations, economic factors and the industry generally. They are not guarantees of future performance, and actual events and results could differ materially from those expressed or implied by forward-looking statements made by us, due to, but not limited to important factors such as our ability to enter into new lease and/or financing agreements, collect on existing lease and/or financing agreements, open new locations on favourable terms, secure new franchised locations, purchase products which appeal to our customers at a competitive rate, cope with changes in legislation, react to uncertainties related to regulatory actions, raise capital under favourable terms, manage the impact of litigation (including shareholder litigation), control costs at all levels of the organization and maintain and enhance our system of internal controls. We caution that the foregoing list is not exhaustive. The reader is cautioned to consider these and other factors carefully and not place undue reliance on forward-looking statements, which may not be appropriate for other purposes. We are under no obligation (and expressly disclaim any such obligation) to update or alter the forward-looking statements whether as a result of new information, future events or otherwise, unless otherwise required by law.
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