Advantage Marketing Systems Posts 1Q04 Results, Becomes Debt-free

Advantage Marketing Systems Posts 1Q04 Results, BecomesDebt-free

OKLAHOMA CITY, Okla.--Advantage Marketing Systems Inc. (NASDAQ:AMMD)announced net income of $54,068, or $0.01 per common (diluted) share, on 7.9million shares outstanding, for the first quarter of 2004, compared to a netloss of $270,740, or $(0.06) per common (diluted) share, on 4.4 million sharesoutstanding, in the first quarter of 2003. Sales revenue totaled $4.5 millionfor the quarter compared to $4.6 million for the quarter ended March 31, 2003,and $4.3 million for the quarter ended Dec. 31, 2003.

The company completed the redemption of all its 1997-A warrants, RedeemableCommon Stock Purchase Warrants and Underwriter's Warrants in January 2004. Aportion of the proceeds from these was used to repay all current and long-termdebt.

"We are clearly focused on 2004 sales execution, and are expanding ourmarketing effort," said David D'Arcangelo, president. "We continue tosee success with our preferred customer free trial program, as evidenced by3,414 new auto shipments in March and 3,732 in April, as we work to expand ournet new monthly recurring auto ship customers."