EXHIBIT 99
For Immediate Release
SCOTT'S LIQUID GOLD-INC.
ANNOUNCES FIRST QUARTER OPERATING RESULTS
DENVER, Colorado (May 12, 2006) -- Scott's Liquid Gold-Inc.
(OTC BB: "SLGD"), which develops, manufactures and markets
household and skin care products, today announced its operating
results for the first quarter of 2006.
For the three months ended March 31, 2006, net sales were $4,155,800
compared with net sales of $5,522,500 in the first quarter of the
previous year. The Company reported a net loss of $1,047,700 or
($0.10) per share, in the most recent quarter, versus a net loss of
$394,900 or ($0.04) per share, in the three months ended March 31, 2005.
Mark E. Goldstein, Chairman of the Board and Chief Executive Officer
of Scott's Liquid Gold-Inc., commented "During the first quarter of
2006, we experienced an increase in sales of our Scott's Liquid Gold
wood care products and our Neoteric line of skin care products, while
experiencing a decrease in sales of our Montagne Jeunesse line of
skin care products and a decrease in sales of our Touch of Scent
air freshener line of products. Our net loss for the first quarter
of 2006 was $1,047,700 versus a loss of $394,900 in the first
quarter of 2005. The loss for 2006 was primarily due to lower sales
of the Montagne Jeunesse product line coupled with an increase in
advertising of our Alpha Hydrox skin care line."
Scott's Liquid Gold-Inc. develops, manufactures and markets high
quality household and consumer products, including Scott's Liquid
Gold wood cleaners/preservatives, Touch of Scent air fresheners,
Alpha Hydrox skin care products, and Neoteric Diabetic Skin Care
products. Scott's Liquid Gold-Inc. assembles and packages Scott's
Liquid Gold Mold Control 500. Scott's Liquid Gold-Inc. also
distributes skin care and other sachets of Montagne Jeunesse. The
Company is headquartered in Denver, Colorado, and its common stock
trades on the OTC Bulletin Board under the symbol "SLGD".
Additional information on Scott's Liquid Gold-Inc. and its products
can be accessed on the World Wide Web: www.scottsliquidgold.com,
www.alphahydrox.com, www.touchofscent.com, and www.neotericdiabetic.com.
This press release may contain "forward-looking" statements within
the meaning of U.S. federal securities laws. These statements are
made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. Forward-looking
statements and the Company's performance inherently involve risks
and uncertainties that could cause actual results to differ from such
forward-looking statements. Factors that would cause or contribute
to such differences include, but are not limited to, continued
acceptance of each of our significant products in the marketplace;
the degree of success of any new product or product line introduction
by us; consumer acceptance of the new Alpha Hydrox products; competitive
factors; any decrease in distribution of (i.e., retail stores
carrying) our significant products; continuation of our
distributorship agreement with Montagne Jeunesse; the need for
effective advertising of our products; limited resources available
for such advertising; new competitive products and/or technological
changes; dependence upon third party vendors and upon sales to major
customers; changes in the regulation of our products, including
applicable environmental regulations; adverse developments in pending
litigation; the loss of any executive officer; and other risks
discussed in this release and in the Company's periodic report filings
with the Securities and Exchange Commission. By making these
forward-looking statements, the Company undertakes no obligation to
update these statements for revisions or changes after the date of
this release.
For further information, please contact:
Jeffry B. Johnson at (303) 373-4860
SCOTT'S LIQUID GOLD-INC.
& Subsidiaries
CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited)
Quarter ended March 31,
---------------------------
2006 2005
(Unaudited) (Unaudited)
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Net sales $ 4,155,800 $ 5,522,500
Operating costs and expenses:
Costs of sales 2,243,500 3,107,500
Advertising 593,700 276,500
Selling 1,425,500 1,475,300
General and administrative 912,100 1,022,800
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5,174,800 5,882,100
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Loss from operations (1,019,000) (359,600)
Interest income 12,600 12,700
Interest expense (41,300) (48,000)
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(1,047,700) (394,900)
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Income tax expense (benefit) - -
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Net loss $(1,047,700) $ (394,900)
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Loss per common share:
Basic and Diluted $ (0.10) $ (0.04)
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Weighted average shares outstanding:
Basic and Diluted 10,503,000 10,471,000
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