How many do you show as being in the 1M club now? About 5?
I'm going to defer to tonto on a lot of those questions, but want to discuss the ones I know pretty well or that I think have serious problems at face value...
1-once a letter of intent is received in calif. then it is a binding contract, did not know about kansas.
I doubt it could be binding, as that's contrary to the definition of "intent". In any event, the developers for that project are still trying to scrounge up some more of the required funds. Delmar talked with them a couple of weeks ago and they're optimistic, and they've secured the majority of the funds. That doesn't mean anything, though, as far as I'm concerned. I don't count this one in the "plusses" column. Icing on the cake if it happens, but "intended" projects fall through all the time.
2-since aret is a management/consultant company then they only manage the project by buying the material and hiring the subcontractors.
As I understand it, this is pretty close to being correct. They are also paid for a certain amount of expertise (the "consultant" part).
3- in calif. the management fee is about 7-8%
If I'm remembering correctly, Tomahawk nets about 6-10% on their projects.
I don't know if this is determined up front or if it's a matter of them saying it'll cost x amount to do a particular job, hiring it done, and keeping the difference.
4- the next step, aret goes to the bank and tries to get financing for the project.
As I understand it, no. Tomahawk's concern is the project. Those who want the project done deal with the financing. The "letter of intent" project is currently pending solely because not all of the financing has been obtained yet.
5-financing eats profits from aret...and it hopes to net 5%
6- the bank will own the deed to the property until they are paid.
7-so suppose they advance 20 mill to aret with restrictions, aret buys
materials hires subcontractors and finishes one month of work and bill the company
who hired them.
8- the company pays the bill to aret less 10% retainer. this retainer could be kept
unpaid up to a year after the project is terminated.
9-if aret goes belly up, the bank owns the site..the subcontractors who also have a lien
on the property will get paid by the bank.
I'm certain all of the above are incorrect. I hope tonto confirms it and explains it, though.
10-it is unethical if aret awards a job to its own subsidiary.
It would be, but the important point is that it's Tomahawk bidding the projects; not ARET. ARET is the parent company of Tomahawk and Cottonwood.
11-this gentlemen is guessing a project like that could take 18-24 months, especialy with winters in kansas
I can't begin to guess how long a particular project might take, but I do live in Missouri (which is where the "letter of intent" project is to take place), which is adjacent to Kansas. In fact, I live close to Kansas City [side note: Many don't realize there are two Kansas Cities, adjacent to each other. Kansas City, Missouri is substantially larger than Kansas City, Kansas].
Anyway, I saw some harsh winters out here when I was a kid, but they're rare these days. We've probably had a total of 3 inches of snow so far this winter, and there hasn't been any on the ground in a long time. In fact, it's going to be quite warm this weekend (about 50 Fahrenheit, 10 Celsius).
Construction generally slows down this time of year, but it doesn't stop completely. There is quite a bit of it happening right now in all areas.
BTW, another side note: Everyone knows that ARET is on the outskirts of Kansas City and that I am. Guess who else is....
Silicon Investor is situated about 5 miles from ARET. I hope to stop by and meet them next week. It'll be nice to finally meet these folks, but, more importantly, to check out the equipment that's running this thing! I'm sure my fellow geeks Jens and Michael understand.
But I digress (big surprise, eh?)
wandering if aret could not get financing to build this "casino in the caribean"
St. Croix is another of those things that I completely discount. If it happens, cool. But I don't factor it in. Letters of intent and offshore projects really don't do anything for me unless something materializes.
also wandering what is cdc acquisition good for?
how much dilution did we just incur?
We'll soon know, when the financials come out. I'll be looking for the answers to those questions and whether or not previously announced projects ever materialized, and whether or not there have been smaller, less newsworthy projects happening.
there is not enough information researched on this thread.
once we have more substance and information, i am ready to double my
position
I tend to agree. It's because the company is so tight-lipped. Right now most of my motivations for having this stock stem from what I believe strongly that the company can accomplish in the long-term. My investment here is just barely past a level I'm willing to lose if it turns out I was wrong. I'm betting "I'm pretty sure I'm right" money right now. If I see substantial information confirming I'm right, I'll up the ante to the "There's no way in hell I'm wrong" level. The signing of the hydroponics contract and the impending financials are major steps in that direction.
Though I still maintain the fact of their filing will be far more important than the contents, I'm still looking forward to picking it apart as it'll be the best factual information we'll have at our disposal. |
