All:
I just returned from the AGM. It was a good meeting and there was opportunity for questions and answers. Biggest news I felt was the installation of a kiosk in Las Vegas. It is located in the Forum, middle of the corridor opposite Planet Hollywood. The kiosk will have a video tape running, same as that shown on the marquee at Times square. One person will be within kiosk selling tickets, and another outside explaining the ride to passers-by. Sounds good to me as this will give much needed exposure to the ride. Shopping in Caesars is down due to NY-NY, but new attractions should soon draw people back again.
The reverse split vote passed, but with quite a few negative votes. Not surprising. Gary Packman's resignation was part of the cost-cutting move by management. He will remain in a consulting capacity for now. Gary was at the meeting and confirmed the situation. He is being forgiven the loan. This is part of a total package to retain his services while saving the company expense.
The new CFO, Mr. Toufic R(oger) Bassil has high marks by management. A hard-working guy that is handling day-to-day financials, plus putting together the SEC stuff and book preparation for the auditors. This saves them time and expense, and more than pays back the salary of Mr. Bassil. (A stockholder raised the question of his 150k salary).
Marketting plans are getting special attention now. Mgmt is working out deals, such as the MacDonalds place-mats advertising ($1.00 off a value meal, etc.) with the two Macs near Times Square. Also working on getting tours to put the attraction in their package. This sounds good.
No market-makers supporting the stock at present, but the company is in talks with a major investment banking firm. They will not remain an 'orphan' for much longer.
A recent price increase for tickets is well received:
1 attraction $8.00
2 - $12
3 - $14
4 - $16
In Las Vegas, you have 4 quads, potential is for 12 shows/hour or
720 tickets/hour (5 minute films). New York is 8500/day.
The company has two capsules in storage ready for installation at new mall in Orlando later this year.
Down time is lessened now with use of new LCD projectors. These cost 1/4 the price of old types and give sharper image.
All in all, things sounded pretty upbeat.
Lee |
