From RB: AREE is Arete Industries, recent restructure with new management team. You'll want to
explore all of
areteindustries.com
but first go to
areteindustries.com
Note CEO Tom Raabe's expertise in implementing turnarounds. Raabe was savvy enough to
realize that core business of providing other companies with marketing/web development
services could attract investor interest only after and to the extent customer companies
succeed. To assure an early success story, he bought into (44% of) Mike Lowe's Agression
Sports, now doing business as Arete Outdoors. Raabe moved coupon and direct mail
business to separate subsidiary and can focus on Arete Outdoors. Note Mike's presence in
two capacities: COO of AREE and managing director of 44% owned subsidiary, Arete
Outdoors. For a hint at what Mike Lowe brings to the table, look at Lowe Alpine, the company
which Mike Lowe developed and sold but which still bears his name:
lowealpine.com
Explore the sublinks, note the worldwide market for high end sporting goods, and ask
yourself what are the odds that Mike can do again what he has already demonstrated he can
do. Then raise those odds based on (1) Raabe having vested interest in making sure Arete
Outdoors succeeds and (2) Mike's brother Greg having joined up.
biz.yahoo.com
Okay, what is it that Arete Outdoors - pushed by Raabe and the Lowe brothers - is going to
accomplish? Step 1 is to check out the 6 Jan PR:
biz.yahoo.com
Note two separate things:
1. Nifty products from the Arete Outdoors side of AREE
2. To be marketed over an e-commerce site produced by the other side of AREE.
Raabe needs a bang up successful site to show to prospective clients. (Much better
motivation than Mike could get from any other web developer.) Now check out the nifty
products by going to prototype of the Arete Outdoors site:
areteoutdoors.com
Hit all the links, but save Innovative Products for last. Note two things about the products:
(1.) High end gear for outdoor activities has high profit potential. If you're going to spend the
night in a tent suspended from a cantilever fastened to the side of a cliff, you'll search out the
best hardware and be willing to pay top dollar.
(2.) In addition to high end products, the Alpine Scooter has every potential to create an
entirely new sport. Easy to learn/use, it works as well on grass/dirt as on snow. With ski slope
owners around the world seeing the possibility of making money year round instead of just
winter, they'll all have to buy a dozen or more just to rent. Thereafter, AREE will have
thousands of "salesmen" working for free. If even a tiny fraction of skateboarders trade up to
a scooter, cash flow from this item alone will be huge.
So, at pennies per share, AREE is a steal even if only for the Scooter. Ignoring the scooter,
it's a steal just to climb on board with the Lowe brothers as they once again market
worldclass hardware. Combine the two and you're well into dollars per share once site is up
and cash is flowing. Now, take a deep breath and step back a couple paces. As great as
Arete Outdoors is and will be, it's only the showpiece that AREE will be able to use to market
itself to other customers who in late 2000 and thereafter will want to do what Arete Outdoors
will have accomplished. The only reason it's a penny stock is that the above hasn't happened yet.
Figure the odds for yourself.
Regards,
Caradoc |
