DIT AMCON Distributing Co

AMCON Distributing Company (AMEX:DIT), an Omaha, Nebraska based consumer products company, announced today that it was not able to timely file its Quarterly Report on Form 10-Q for the first quarter ended December 31, 2005. On January 16, 2006, the Company issued a press release announcing that it was unable to file its Annual Report on Form 10-K for the fiscal year ended September 30, 2005 due to uncertainties surrounding two of the Company's subsidiaries. As a result of the delay in filing its Annual Report for fiscal 2005, the Company will not be able to file its Quarterly Report on Form 10-Q for the first quarter ended December 31, 2005 until the Form 10-K for fiscal 2005 is filed. The Company does not believe that it will be in a position to file its Annual Report on Form 10-K for fiscal 2005 prior to March 31, 2006 and does not believe that it will be in a position to file its Quarterly Report on Form 10-Q for the first quarter ended December 31, 2005 prior to April 21, 2006. Michael James, AMCON's CFO, stated, "As a result of being unable to file our Quarterly Report on Form 10-Q for the first quarter ended December 31, 2005 ("Quarterly Report"), the Company will receive a notice from the American Stock Exchange ("AMEX") of a failure to timely file the Quarterly Report which results in a violation of Sections 134, 1003(d) and 1101 of the AMEX Company Guide and AMCON's agreement with the AMEX. The Company had previously received a notice with respect to the late filing of its Annual Report for fiscal 2005 ("Annual Report Notice") and, as result of the Annual Report Notice, the indicator .LF has been added to the company's stock symbol in any place the company's symbol is transmitted with a quotation or a trade. The Company has submitted a plan to the AMEX that addressed its failure to file its Annual Report for fiscal 2005 and the action that the Company has taken, or will take, that will bring it into compliance with Sections 134, 1003(d) and 1101 of the AMEX Company Guide and the Company's agreement with the AMEX by no later than March 31, 2006. However, there is no guarantee that the plan will be accepted or rejected by the AMEX. "The Company currently estimates that its net loss for first quarter ended December 31, 2005 will be approximately $1.1 million compared to a net loss of $0.1 million for the first quarter of fiscal 2004. This estimate excludes any impact for accounting for any of the uncertainties related our beverage subsidiaries previously discussed. The loss was primarily attributable to the Company's beverage segment which incurred $1.0 million of the estimated net loss." James continued. Kathleen Evans, President of AMCON, added "the wholesale distribution and retail health food business continued to generate positive cash flows during the quarter and performed according to plan. We expect that these businesses will generate positive net income in fiscal 2006." AMCON is a leading wholesale distributor of consumer products, including beverages, candy, tobacco, groceries, food service, frozen and chilled foods, and health and beauty care products with distribution centers in Illinois, Missouri, Nebraska, North Dakota and South Dakota. Chamberlin's Natural Foods, Inc. and Health Food Associates, Inc., both wholly-owned subsidiaries of The Healthy Edge, Inc., operate health and natural product retail stores in central Florida (6), Kansas, Missouri, Nebraska and Oklahoma (4). The retail stores operate under the names Chamberlin's Market & Cafe and Akin's Natural Foods Market. Hawaiian Natural Water Company, Inc. produces and sells natural spring water under the Hawaiian Springs label in Hawaii and other foreign markets and purified bottled water on the Island of Oahu in Hawaii. The natural spring water is bottled at the source on the Big Island of Hawaii. Trinity Springs, Inc. produces and sells geothermal bottled water and a natural mineral supplement under the Trinity label and recently introduced a vitamin enhanced beverage product under the Trinity Enhanced label. The water and mineral supplement are both bottled at the base of the Trinity Mountains in Paradise, Idaho, one of the world's deepest known sources. This news release contains forward-looking statements that are subject to risks and uncertainties and which reflect management's current beliefs and estimates of future economic circumstances, industry conditions, Company performance and financial results. A number of factors could affect the future results of the Company and could cause those results to differ materially from those expressed in the Company's forward-looking statements including, without limitation, availability of sufficient cash resources to conduct its business and meet its capital expenditures needs. Moreover, past financial performance should not be considered a reliable indicator of future performance. Accordingly, the Company claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 with respect to all such forward-looking statements. Visit AMCON Distributing Company's web site at: www.amcon.com