Asta Funding, Inc. (NASDAQ:ASFI), a leading consumer receivables asset management and liquidation company, today announced that it has formed a strategic alliance with a major consumer receivables management company. This new alliance will enable our newly formed subsidiary Palisades Acquisition, LLC to purchase distressed consumer receivables from companies that have relationships with the consumer receivables management company.
Gary Stern, Asta president & CEO commented, “The alliance gives ASTA an increased outlet and brand franchise for buying and outsourcing distressed consumer receivables. We continue to build relationships in order to achieve our goal to become one of the leading distressed and non-conforming consumer receivables asset management and liquidation company’s in the marketplace.”
ASTA has committed up to $10 million to the new alliance.
The Company recently reported very strong first quarter results for the period ended December 31. Revenues increased 103% to $8.4 million and net income rose 31% to $2.3 million. The latest 12- month earnings per share were $2.16.
About Asta Funding
Based in Englewood Cliffs, NJ, Asta Funding, Inc., is a leading consumer receivables asset management company specializing in the purchase, liquidation and management of performing and non-performing consumer receivables, and the factoring of commercial receivables. Asta generates revenues and earnings primarily through purchase and collection of performing and non-performing consumer receivables and commercial factoring receivables. Asta has strategic alliances with the leading companies in the consumer receivables market. For additional information, please visit our Web site at www.astafunding.com.
Except for historical information contained herein, the matters set forth in this news release are “forward looking” statements (as defined in the Private Securities Litigation Reform Act of 1995.) Although Asta Funding, Inc. believes the expectations reflected in such forward -looking statements are based upon reasonable assumptions, there can be no assurance that its expectations will be realized. Forward-looking statements involve certain risks and uncertainties that could cause actual results to differ materially from Asta Funding, Inc.’s expectations. Factors that could contribute to such differences include those identified in Asta Funding, Inc.’s 10-KSB for the fiscal year ended September 30, 2001, and those described from time to time in Asta Funding, Inc.’s other fillings with the Securities and Exchange Commission, news releases and other communications.
