I have some updated info for all who are interested:
Several posts ago to me, Bob Monski mentioned a Form 15C-211 which is a broker relations form, not an investor relations form. (Why he counted it amongst an investor's basic due diligence package is more than I can answer.) Anyway, I called Say Yes Foods at 1 (800) 818-MILK and left a message for them to a call me. I received a call from Doug Davidson in less than 5 hours. He spent a long time on the phone with me (about 30 minutes) and answered all the questions which had been dumped on this forum in a less than favorable light. I asked him if he would answer other's questions. He sounded eager to. I encourage all who want the company's position on this to ask their questions and get their answers "from the horse's mouth."
Some highlights of my conversation:
Several of the preceding acidic posts asked the question why millions of shares were bought for only one cent. I can now answer that question. Say Yes Foods became a company by taking over a shell company called "Moneyline". A shell company is one which is set up with a business structure and shares and all, but for whatever reason does not go into active trading or into business. Say Yes Foods (SYF) bought the shell company's stock, about 19 Million shares for one cent each. SYF then restructured the company, and restructured the shares, and then went on to begin public trading, beginning at $1.50 per share. This kind of take over is done all the time. About 10 million of the stock is "tightly" retained by the company's insiders, and the float is about 5 million shares. There is an additional 4-5 million shares of restricted stock which can be used to acquire working capital. 1 million of that restricted stock has been exercised to obtain 1996's working capital. I hope I accurately reported all this. Check with SYF to verify.
Bob Monski said that SYF claimed that the Form 15C-211 was not available. When I called today, I asked about this form, and was told it will be sent Airborne Express tonight and will be at my house tomorrow morning! SYF has been very responsive!
I asked about Bob's question of why no large dairies were coming on line. The answer is different from my earlier posted guess. It turns out that the large dairies already have their low fat products. They do not want to sign on SYF's line because it will compete with their existing line. Also, it turns out that timing had a lot to do with the large dairies avoidance of SYF to date. The large dairies which had low fat products already on the shelves, had contracts in place when SYF began their marketing. Hence, with a good contract in place, the large dairies are not likely to abruptly dump their contracts and use another company's. However, SYF believes that after they get a higher market exposure, that the large dairies will see the superiority of SYF's product and will eventually begin to sign on with them. I am trying hard to be brief, so please call SYF if you are unclear about this issue.
Lastly, and briefly, I talked with Doug at length about the whole issue of no financials. He was very helpful and courteous to point out that SYF is set up as a non-reporting "504D" company. This means that SYF is not required to report for 18 months. BUT!!! SYF WANTS to report earlier than that. It is SYF's own desire to get financials out MUCH earlier than required and so they are trying to complete the audit very soon. I wasn't given a date, but was told it would likely be any day now. This does not sound like they are hiding financials to me. Rather, they are going the extra mile to get them to us earlier than required by the SEC!
Please, if you have questions, don't E-mail me, ask the company! I can not do all the homework for all who may have questions.
It was one of Bob's snide comments, (which I did not answer) that gave me the key information that I could use to help me break this log jam free. I too appreciated that one of Bob's recent posts was toned down, and I am glad to have him share his knowledge with us as well as his opinions. Bob ... if you're reading this ... maybe you could give us a little more of your good hard facts. Thanks! :-) |
