VANCOUVER, WA...August 6, 1999...Direct Focus, Inc. (Nasdaq: DFXI) said today that its commercial fitness equipment operation, Nautilus, is significantly broadening its potential customer base by offering lease financing through a third party lender.
Under an agreement with C&W Leasing, a subsidiary of Fidelity National Financial, Inc. (NYSE: FNF), Nautilus is adding a lease financing program for its commercial fitness equipment, giving the company the opportunity to finance more customers and provide them with longer terms and lower payments than the industry norm.
"This newly developed rental program is a major step forward in our strategy to revitalize the Nautilus business," said Brian Cook, president and chief executive officer of Direct Focus. "By adding this option as an alternative to purchase, any health club, non-profit organization and other potential customers in the commercial marketplace will be able to have Nautilus equipment."
Cook said that the rental program encompasses longer terms as well as flexibility in working with customers at all levels of credit standing. "This program is possible because Nautilus equipment virtually lasts forever and maintains its resale value," he explained.
"We are looking forward to working with Nautilus in this new relationship," said Lance Kennoy president of C&W Leasing. "This new risk managed finance lease program further strengthens Nautilus' position in the commercial fitness equipment market."
Direct Focus currently markets three lines of products - Bowflex home fitness equipment, Nautilus fitness equipment and Nautilus sleep systems - directly to customers via advertising, on television, printed media and the Internet.
This press release contains forward-looking statements relating to anticipated revenues, net income, earnings and the development of the company's products and services, including statements regarding its Nautilus business. Factors that could affect the company's actual results include its reliance on a limited product line, market acceptance of its existing and future products, growth management challenges and difficulties integrating the company's Nautilus operations. A more detailed description of certain factors that could affect actual results include, but are not limited to, those discussed in the company's registration statement on Form S-1 in the section entitled "Risk Factors."