MIAMI -- Home Shopping Latino, Inc., dba Viva TeleCompras, today announced its merger with a Delaware company, 1-800-Auto Tow Inc. Under the terms of the merger, Home Shopping Latino's operations were mergered with and into 1-800-Auto Tow, 1-800-Auto Tow changed
its name to "Home Shopping Latino, Inc.", the shares of 1-800-Auto Tow were reverse split on a 100:1 basis, and all the shares of 1-800-Auto Tow were cancelled and then immediately re-issued by the newly-merged company. The merger became effective for all purposes on Nov. 6, 2006. As a result of the merger, 1-800-Auto Tow's shares are now traded on the Pink Sheets under the trading symbol "HSPL.PK".Home Shopping Latino is an all Spanish Language Television Channel and Online Shopping Web site. Hoping to tap into the considerable spending power of the growing U.S. Hispanic population, a Delaware-based company plans to roll out a new shopping channel expressly for a Spanish-speaking audience.
Viva TeleCompras and its accompanying Web site, www.vivatelecompras.com, which are being developed by Home Shopping Latino, Inc., will fill a niche by reaching out to 7.9 million Hispanic homes - more than 85 percent of the Hispanic households in the U.S. Planned offerings include jewelry, electronics, household items and computers. In addition, the network intends to offer its own credit card and payment plans for higher-priced items.
HispanTelligence, the research division of Hispanic Business Inc., reported that Hispanic home ownership is currently at its highest level and increasing at four times the rate of total U.S. ownership. The three main markets in the U.S., Puerto Rico and Mexico have a combined TV household population of 29.5 million and a combined purchasing power of $700 billion, an attractive source of revenue for advertisers. This market is projected to increase to nearly $1 trillion in the next few years.
HispanTelligence also found that Hispanic employment rates have increased to more than 16 percent in the last five years, as compared to a mere 2 percent overall in the U.S. A growing number of Hispanic entrepreneurs and a greater interest in investing - both in homeownership and stocks - have led to a marked increase in the overall net worth of the Hispanic population.
By using a fun, fast-paced format with well-known Latino personalities as hosts and featuring carefully planned promotions, Home Shopping Latino is hoping Viva TeleCompras will garner a loyal following among the Hispanic community.
From studios in southern Florida, Viva TeleCompras will share the airwaves with such big names such as HBO, National Geographic and Cinemax. Its debut is planned for the first quarter of '07.
This press release may contain certain forward-looking information and statements concerning the company's operations, performance and financial condition. These statements are based upon a number of uncertainties and contingencies, many of which are beyond the control of the company. Actual results may differ materially from those expressed or implied by such forward-looking statements. This document is not intended and is not an advertisement for any securities of the company.