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Gold/Mining/Energy : Nuvo Research Inc

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To: Joe Krupa who wrote (13692)10/7/2004 4:58:05 AM
From: Joe Krupa  Read Replies (3) of 14101
 
Below is a summary of why I feel the share price should be worth at least as much as where it is now and possibly higher:

Price before AGM (30-40 cents)
- No idea about skeletons in closet
- Old, incompetent, dishonest management team
- No idea about FDA and if it was even dead
- No Vioxx news
- No hope that anything would ever change
- No idea if the company will even survive
- No idea how debt to Dr. K would be handled.
- Management that refused to seek major partners, which left no hope for upfront payments and partnership money.
- Out of control costs.

Now
- Skeletons revealed
- New solid, honest management team. Meets deadlines.
- FDA alive and well, though couple years off.
- Vioxx news changed the landscape dramatically, with liklihood that other shoe (Celebrex) will drop.
- Solid plan being put in place with potentially bright future
- Company will survive
- Reassurance that Dr. K is ammenable to working out a situation agreeable to both parties.
- Good possibility of signing major US partner with large upfront.
- Under new plan, costs are being brought under control.
- New mangement will know how to maximize possibilities with WF10 and Penecure.

The message that the market should get is that things are dramatically different at Dimethaid than they were under the Keeler regime. The company is now embarking on a new path that shows lots of promise and will hopefully never look back.

joe
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