This is a hoot! The message that I'm replying to says that Hank started this subject LMFAO!!!! LOLOL. It seems to me that one or more messages that Hank posted today disappeared. I was going to reply to Hank's question about pharmaceutical backing but the message is gone. Since Hank has monopolized this message board, I guess SI made him the honorary thread starter LOL.
At any rate, Hank, I feel like I already addressed your question in this post beta.siliconinvestor.com
Here are some follow-up comments, however. I'm not privy to every detail of Gum Tech's marketing plans, but I did sit in on a conference call a few months ago when they discussed the option of partnering with a pharmaceutical company. They left it open as an option and didn't think that it was necessary at the current time. I agree with the company's decision to proceed on their own in the US right now. They have met their distribution goal of Zicam being available in 40,000+ stores, and sales are going well as evidenced by the recent press release that said orders were up more than 500% from just last quarter.
They might have cut back on advertising recently because Zicam is selling well without it and they are still restocking the channel. The only reason to advertise under these conditions is to build brand awareness, but I suspect that they are postponing this temporarily to save money and increase production. As I said earlier, I believe that it makes more sense to establish a partner for international distribution since Gum Tech does not have a strong distribution network outside the US. If you have further questions on their strategy with regard to partnering with a pharmaceutical company, I would suggest that you contact Brown Russell at (602) 252-1617.
Regards,
Dan
PS to marketmover: Good luck with your long position and congratulations on your profit from the short side. As I have said before, the volatility in this stock allows both longs and shorts to make money on the swings. I prefer to own it from the long side because of my opinion about the future fundamentals. Even if I didn't like the fundamentals of the company, there's no way in hell that I would hold a short position overnight until the second clinical studies were announced, or the company said that nicotine gum would be delayed. If either one of these news events is released after hours, the stock will likely gap up significantly the next day. I also disagree with traders who bash the stock when they are short, go long, and then talk it up. I'm not accusing you of this, but some traders on Yahoo have done this. |
