It is interesting that Mad2 says it doesn't matter if Quigley has a gum business, yet he says Gum Tech is just like Quigley. That makes a lot of sense, doesn't it? It's like saying Motorola is just like Atmel because they both make integrated circuits. Who cares if Motorola makes cell phones and Atmel doesn't. They are exactly the same. LMAO!
Also funny how Mad2 says a patent is only worth something if it is unique and valuable. By definition, a patent IS unique. If an invention isn't unique, the patent office wouldn't grant the patent. Duh! From uspto.gov :
The patent law specifies the general field of subject matter that can be patented and the conditions under which a patent may be obtained. In the language of the statute, any person who “invents or discovers any new and useful process, machine, manufacture, or composition of matter, or any new and useful improvement thereof, may obtain a patent,” subject to the conditions and requirements of the law.
From uspto.gov
In order for an invention to be patentable it must be new as defined in the patent law, which provides that an invention cannot be patented if: “(a) the invention was known or used by others in this country, or patented or described in a printed publication in this or a foreign country, before the invention thereof by the applicant for patent,” or “(b) the invention was patented or described in a printed publication in this or a foreign country or in public use or on sale in this country more than one year prior to the application for patent in the United States . . .”
It sure sounds like an item has to be unique before one can be granted a patent, doesn't it? Regarding whether Zicam is valuable, it has produced revenues of $15.7 million and a profit of about $1 million since inception. That is a modest profit, but very few companies can say they made a profit on a new product in a new market for them. Gum Tech started from the ground up getting Zicam into nearly every store that sells cough and cold products in the US. It's safe to say that Zicam is valuable and unique.
Regarding when they will start shipping nicotine gum, here is a quote from the May 12 press release announcing the first quarter results:
Hemelt continued, "Although we do not anticipate significant growth from our existing gum customers, we have made substantial progress on our nicotine gum and oral care product opportunities. In fact, we anticipate finalizing the joint venture agreement with Swedish Match in the near future. If successful, we believe that we will initiate manufacturing of products for this joint venture in early 2001. In addition, we are moving forward steadily with a major consumer products company to develop and market oral care gum products and anticipate a significant development with respect to this opportunity before year-end. When realized, these opportunities will result in significant growth in our gum operations."
I think the company said at the annual meeting that they plan to start shipping nicotine gum in the first quarter 2001. Mad2 also asked what Gum Tech is going to get out of the joint venture with Swedish Match and implied in hypish ?????????? style that they would get the same thing that they got out of a small product like Brain Gum. What a crock. The market for nicotine cessation products is well established. SmithKline's sales were over $600 million last year, and the industry is expected to grow to $1.5 Billion by 2005. One thing that Gum Tech will get is a piece of that market. How much is anyone's guess, but knowing how important this JV is to Swedish Match, I have to believe that they are going to get a reasonably large share of the market. Gum Tech will make 49% of the profits from the joint venture and be reimbursed for their costs of production plus a small fee. Included in the costs of production are cost of sales and whatever overhead is attributed to the manufacture of nicotine gum. Because of this, I think that Gum Tech could make a small profit on nicotine gum even before the joint venture does.
It's ironic that Truthseeker's alias implies he seeks the truth, but he can't recognize the truth when somebody puts it in front of his face, or he twists the truth to make it a lie. He should either live up to his name or get a new moniker. After the pump and dump short touts cover their shorts, this thread will go back to one or two posts a month. Something tells me that it won't be long. I'm still waiting for Mad2 to post projected cash flows. Something tells me that won't be coming for a very long time, as in never. |
