i agree the filings are critical. but if one belie
Post# of 15187
Posted On: 01/15/2016 1:02:48 PM
Re: Goodspeed65 #1961
i agree the filings are critical. but if one believes the company/mgmt/brand then one must take Veal's word about filing when the time is right at face value.
if investors/shareholders can confirm the SSS #s by dealers as they can come online - then one can extrapolate the larger, revenue numbers and also continue to give mgmt the benefit of the doubt on filings. we do know their auditor was bounced by the SEC and there remains issue there per Veal's note. we do know that the lenders can not convert while they are delinquent and that only hurts shareholders - specifically long term shareholders. we know the lenders have now sued the company and we are awaiting a response from the company on how they will defend/counter. we know revenues have been coming into the company in 2015 based on CK shipments, dealer contracts, dealer purchases, Walgreens, and some legacy accounts.
if they signed up 20 dealers at an avg of $40K/territory and they received $20K per sign up - that is $400K alone. if each dealer ordered 2 pallets of product that is roughly 18K bottles per dealer *20 dealers * $1.25/bottle = $461K. CK should have been @ $200K which is around $1MM for 2015 in revenues. they should have cash flow and the means to pay off the remaining debt ($400-600K i think per last letter from Veal?) are the lenders playing hardball? based on iLie / Yahoo bashing posts - they want shares - not cash. since it seems somewhat obvious those posters are tied to the lenders - it would suggest they are going after the max number of shares possible and dont care about the cash (which is what the case will probably end up being amount). if that is true, and they refused to negotiate (due to financial leverage), then it makes sense for HJOE to counter accordingly and prevent them from trying to dilute the stock down/tank the company which is to the benefit of shareholders and the company.
so - if investors can verify these SSS numbers from several dealers in several different areas that validate the sell thru rate - i firmly believe the rest will work itself out. Walgreens in NOLA isnt a good measuring stick nor to a lesser degree is Vegas. we need to see SSS from mom and pop stores in every day town in America to see how the products resonate with the everyday Joe. unfortunately - i have no dealer stores (just some legacy ones) in my area though i will do some DD when the dealer gets established in NW Indiana/South Bend market. i will also be in st. louis later on this quarter or early 2Q and will poke around there.
it still remains very speculative and risk but the rewards are commensurate with that risk. that aside, look at the company today compared to this time in 2015 or 2014. look at where the stock was trading both years. look at where the convertible debt levels were at. when taking that into account and the happenings in the last half of 2015 - do you think the stock is more or less speculative now? do you think the chances of success are more or less now?
if investors/shareholders can confirm the SSS #s by dealers as they can come online - then one can extrapolate the larger, revenue numbers and also continue to give mgmt the benefit of the doubt on filings. we do know their auditor was bounced by the SEC and there remains issue there per Veal's note. we do know that the lenders can not convert while they are delinquent and that only hurts shareholders - specifically long term shareholders. we know the lenders have now sued the company and we are awaiting a response from the company on how they will defend/counter. we know revenues have been coming into the company in 2015 based on CK shipments, dealer contracts, dealer purchases, Walgreens, and some legacy accounts.
if they signed up 20 dealers at an avg of $40K/territory and they received $20K per sign up - that is $400K alone. if each dealer ordered 2 pallets of product that is roughly 18K bottles per dealer *20 dealers * $1.25/bottle = $461K. CK should have been @ $200K which is around $1MM for 2015 in revenues. they should have cash flow and the means to pay off the remaining debt ($400-600K i think per last letter from Veal?) are the lenders playing hardball? based on iLie / Yahoo bashing posts - they want shares - not cash. since it seems somewhat obvious those posters are tied to the lenders - it would suggest they are going after the max number of shares possible and dont care about the cash (which is what the case will probably end up being amount). if that is true, and they refused to negotiate (due to financial leverage), then it makes sense for HJOE to counter accordingly and prevent them from trying to dilute the stock down/tank the company which is to the benefit of shareholders and the company.
so - if investors can verify these SSS numbers from several dealers in several different areas that validate the sell thru rate - i firmly believe the rest will work itself out. Walgreens in NOLA isnt a good measuring stick nor to a lesser degree is Vegas. we need to see SSS from mom and pop stores in every day town in America to see how the products resonate with the everyday Joe. unfortunately - i have no dealer stores (just some legacy ones) in my area though i will do some DD when the dealer gets established in NW Indiana/South Bend market. i will also be in st. louis later on this quarter or early 2Q and will poke around there.
it still remains very speculative and risk but the rewards are commensurate with that risk. that aside, look at the company today compared to this time in 2015 or 2014. look at where the stock was trading both years. look at where the convertible debt levels were at. when taking that into account and the happenings in the last half of 2015 - do you think the stock is more or less speculative now? do you think the chances of success are more or less now?
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