Charles & Colvard Reports Positive Earnings Expected for First Quarter 2001

Apr 11, 2001, 01:00 ET from Charles & Colvard, Ltd.

    MORRISVILLE, N.C., April 11 /PRNewswire/ --
     Charles & Colvard, Ltd. (Nasdaq: CTHR), the sole source of moissanite -- a
 created jewel available for use in fine jewelry -- today announced it expects
 to report positive earnings for the first quarter of 2001.  Revenue is
 expected to be slightly lower than the first quarter of 2000, but carat
 shipments were slightly higher.
     Bob Thomas, Charles & Colvard's president and CEO stated, "The company
 expects to report first ever earnings from operations.  Although additional
 improvements in our operations are needed, we are pleased with the progress we
 have made.  As we have consistently stated, we are positioning the company to
 achieve sustainable profitability, while taking prudent and affordable steps
 to improve product awareness and acceptance."
     Detailed first quarter results are to be reported after the market close
 on April 24, 2001.  A conference call to discuss the first quarter financial
 results will be held at 4:30 p.m. EST on the 24th.
     In other corporate news, the company announced that Amy Rabun has joined
 the company as director of marketing communications.
     Ms. Rabun specializes in corporate identity development and formerly owned
 her own marketing firm.  With more than 25 years in the industry, she has
 extensive marketing and design experience working with clients such as IBM,
 Kraft Foods, MCI, GTE and Pepsi.  Prior to starting Autumn Communications, Ms.
 Rabun was executive vice president of Connecticut-based Creative Image
 Associates, Inc.
     Thomas commented, "Amy's talents as a strategist and brand developer made
 her a perfect fit for this position.  Charles & Colvard is executing powerful
 grassroots marketing to our two primary targets, consumers and retail
 jewelers.  Under Amy's leadership, this program will excel."
     Charles & Colvard, based in the Research Triangle Park area of North
 Carolina, became a public company in 1997.  For more information, please
 access www.moissanite.com.
 
     This press release contains preliminary and unaudited statements regarding
 results for the first quarter of 2001, including statements relating to
 expectations of net sales and net income.  Actual results could differ for a
 variety of reasons including revenue-related adjustments, inventory-related
 adjustments and actual operating and non-operating expenses and adjustments.
 In addition, this press release contains forward-looking statements that
 relate to the company's future plans and objectives.  These statements are
 subject to numerous risks and uncertainties, including without limitation the
 limited operating history upon which the company and its prospects can be
 evaluated, the need for further development of the company's products, the
 company's reliance on Cree, Inc. as a developer and supplier of silicon
 carbide crystals, the small size of the current market for the company's
 products and uncertainty of market acceptance and demand for such products in
 the future.  These and other risks and uncertainties, which are detailed in
 the company's filings with the SEC including Forms 10-K and 10-Q, could cause
 actual results and developments to be materially different from those
 expressed or implied by any of the forward-looking statements included in this
 press release.
 
 

SOURCE Charles & Colvard, Ltd.
    MORRISVILLE, N.C., April 11 /PRNewswire/ --
     Charles & Colvard, Ltd. (Nasdaq: CTHR), the sole source of moissanite -- a
 created jewel available for use in fine jewelry -- today announced it expects
 to report positive earnings for the first quarter of 2001.  Revenue is
 expected to be slightly lower than the first quarter of 2000, but carat
 shipments were slightly higher.
     Bob Thomas, Charles & Colvard's president and CEO stated, "The company
 expects to report first ever earnings from operations.  Although additional
 improvements in our operations are needed, we are pleased with the progress we
 have made.  As we have consistently stated, we are positioning the company to
 achieve sustainable profitability, while taking prudent and affordable steps
 to improve product awareness and acceptance."
     Detailed first quarter results are to be reported after the market close
 on April 24, 2001.  A conference call to discuss the first quarter financial
 results will be held at 4:30 p.m. EST on the 24th.
     In other corporate news, the company announced that Amy Rabun has joined
 the company as director of marketing communications.
     Ms. Rabun specializes in corporate identity development and formerly owned
 her own marketing firm.  With more than 25 years in the industry, she has
 extensive marketing and design experience working with clients such as IBM,
 Kraft Foods, MCI, GTE and Pepsi.  Prior to starting Autumn Communications, Ms.
 Rabun was executive vice president of Connecticut-based Creative Image
 Associates, Inc.
     Thomas commented, "Amy's talents as a strategist and brand developer made
 her a perfect fit for this position.  Charles & Colvard is executing powerful
 grassroots marketing to our two primary targets, consumers and retail
 jewelers.  Under Amy's leadership, this program will excel."
     Charles & Colvard, based in the Research Triangle Park area of North
 Carolina, became a public company in 1997.  For more information, please
 access www.moissanite.com.
 
     This press release contains preliminary and unaudited statements regarding
 results for the first quarter of 2001, including statements relating to
 expectations of net sales and net income.  Actual results could differ for a
 variety of reasons including revenue-related adjustments, inventory-related
 adjustments and actual operating and non-operating expenses and adjustments.
 In addition, this press release contains forward-looking statements that
 relate to the company's future plans and objectives.  These statements are
 subject to numerous risks and uncertainties, including without limitation the
 limited operating history upon which the company and its prospects can be
 evaluated, the need for further development of the company's products, the
 company's reliance on Cree, Inc. as a developer and supplier of silicon
 carbide crystals, the small size of the current market for the company's
 products and uncertainty of market acceptance and demand for such products in
 the future.  These and other risks and uncertainties, which are detailed in
 the company's filings with the SEC including Forms 10-K and 10-Q, could cause
 actual results and developments to be materially different from those
 expressed or implied by any of the forward-looking statements included in this
 press release.
 
 SOURCE  Charles & Colvard, Ltd.