$8 million in new business at SG Echo subsidiary; Anticipates cash flow positivity at the factory in 2024 Cost-Saving Initiatives Expected to Save $2.5 Million in Annualized Expenses to be Recognized in 2024 MIAMI, May 17, 2024 (GLOBE NEWSWIRE) -- Safe & Green Holdings Corp. (NASDAQ:SGBX) ("Safe & Green Holdings" or the "Company"), a leading developer, designer, and fabricator of modular structures, reported results for the three months ended March 31, 2024. Recent Highlights: Received an expanded scope of work for a contract with a government contractor to refurbish 19 container modules for a major U.S. agency, adding an extra $1 million to build 11 additional military office containers. Completed a warrant inducement agreement with a single institutional investor generating gross proceeds of approximately $450K. Completed multiple small debt financing and investment agreements generating $500K in proceeds. Entered into a securities purchase agreement with a single institutional investor generating gross proceeds of approximately $4.0 million. Safe & Green Holdings' subsidiary, SG Echo, expects to deliver its first eco-friendly modular unit to a prominent quick-service restaurant customer in the Pacific Northwest. Announced the collaboration and sales of modular units to Britten Inc., a veteran-owned creative production house renowned for its cutting-edge signage, displays, and event branding solutions. Entered into an agreement to produce four modular electrical distribution centers for a client serving the big box retailer market, as part of a multi-unit order. Entered into a design/build agreement with Talent Services LLC to develop and produce 8 units in compliance with the Department of Energy's Net-Zero Energy Ready requirements. Entered into a non-binding Letter of Intent (LOI) to design, build, and operate an 800-unit supportive housing community for veterans, first responders, and others disabled from their service who are interested in manufacturing work, along with their families. Entered into a design-build contract with Hostel Cubed to produce their inaugural modular camping cube for the California Coast, dubbed the "Coastal Camping Cube." Paul Galvin, Chairperson and Chief Executive Officer of Safe and Green Holdings commented, "In the first quarter, Safe & Green Holdings secured numerous new contracts and partnerships, significantly enhancing our already strong production pipeline. We received a contract from a US Government contractor to refurbish 15 container modules we had initially built, with additional technological support for an undisclosed military-related US government agency. This contract was expanded with an additional $1.0 million order to construct 11 new modular office containers. This ongoing collaboration reflects our customers' appreciation for the superior quality of our units and our specialized modular construction expertise.  "SG Echo, our manufacturing subsidiary, is set to deliver its first sustainable modular unit to a prominent quick-service restaurant in the Pacific Northwest. We see this initial delivery as the beginning of a significant relationship with this renowned chain. Our facility in Durant, Oklahoma, strategically located to serve commercial markets across the United States, recently completed the final inspection of this unit, which is scheduled to ship in Q2 2024. This milestone not only demonstrates our ability to deliver top-quality, sustainable solutions nationwide but also marks a significant step in our mission to revolutionize efficiency and sustainability in the industry through advanced modular construction techniques. "Furthermore, the Company entered into a design/build agreement with Talent Services LLC to design and produce eight units that comply with the Department of Energy's Net-Zero Energy Ready Requirements. We are particularly excited to incorporate our design and modular processes into such an innovative project. The initial phase of the project involves developing six designs and producing eight initial units, ranging from one-bedroom, single-story homes to three-bedroom, two-story homes. These units are expected to be delivered in North Carolina in the fourth quarter of 2024. This phase marks the beginning of a broader project, anticipated to expand with an additional 50 units scheduled for delivery in 2025. In total, the project has the potential to involve the construction and delivery of approximately 600 units over the next seven years. "Finally, we entered into an agreement to manufacture four container-based electrical distribution centers as part of a multi-unit order for a client serving the big box retailer market. These units are known for their versatility and dependability, as they efficiently manage and distribute electrical power, and are easily adaptable to evolving technologies and increasing power demands. This agreement marks the production of the initial four units of what we anticipate will be a total of 20 units ordered during 2024. Over the years, Safe and Green has manufactured more than one hundred of these modular electrical distribution centers, and we are excited to be manufacturing them again. The versatility of these units allows for electrical distribution wherever and whenever it's needed, once again highlighting one of the key benefits of modular construction. "Overall, Safe and Green continues to see robust growth in our manufacturing sales pipeline. Based on our current sales assessments alone, we anticipate achieving a factory utilization rate of over 90% for the next two years. Consequently, we are expanding our manufacturing capacity which currently consists of two manufacturing facilities. Our planned McLean manufacturing facility is currently in the design phase, and a fourth facility is in the planning stages. Once completed, these facilities will provide the Company with more than 360,000 square feet of manufacturing space within the United States. Looking ahead, given our projected growth, the scalability of our manufacturing operations, and aggressive cost reductions, we are positioning Safe and Green to not only turn cash flow positive by the end of 2024 but also to start generating significant cash flow throughout the remainder of the year and beyond. If accomplished, this achievement will ...