Contributing to the revenue increase was the company’s acquisition in February 2007 of Cleaners Club Inc. (doing business as “Boston Cleaners”) in Riverside, California.  This was U.S. Dry Cleaning’s latest acquisition in its move to create the first national premier chain in the dry cleaning industry. Boston Cleaners added 12 retail outlets to the business and increased the company’s annualized run rate to nearly $10 million. In July 2007, U.S. Dry Cleaning completed an initial public offering of $6.1 million to advance its strategy of consolidating market-leading businesses at accretive valuations.

Robert Y. Lee, CEO, Director and co-founder of U.S. Dry Cleaning, said, “We have entered a very exciting time at U.S. Dry Cleaning. We have completed our IPO. We have money in the bank to be used to acquire some of the leading dry cleaning companies in America. Our revenue increase of 50% from a year ago is just what we expected.  It signals the beginning of the rapid growth through acquisition that we have planned. We also exceeded our other major goal: same store sales were up 6% over a year ago, which was higher that our 5% goal.”

About U.S. Dry Cleaning Corporation

U.S. Dry Cleaning Corporation’s mission is to create the premier national chain in the dry cleaning industry. Over the last year and half, U.S. Dry Cleaning has completed acquisitions with combined annual revenues of over $9 million. U.S. Dry Cleaning combines a management team with extensive experience in retail consolidations and premier dry cleaning operations, with a proven operating model.

U.S. Dry Cleaning intends to rapidly acquire profitable, positive cash flow operations at accretive valuations. Each acquisition target is expected to be self-sufficient and senior management is expected to remain in place to ease the assimilation. U.S. Dry Cleaning is focused on acquiring profitable businesses that hold a leading share in their individual markets.

U.S. Dry Cleaning management believes that the current absence of extensive competition to acquire the larger dominant operators will change radically as the industry consolidates. Management believes that the greatest value achieved in any consolidation occurs during the earliest phases and intends to grow as rapidly as possible to deliver shareholder value.

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