Ed,
<<I mostly agree with your statement. It just makes me incredibly nervous that there is no news out. Given current management, what happens if the earnings are real bad (we know they will be), and they give one of their less than dramatic conference calls which they are known for? This stock could easily go down 4 points!>>
I guess that's the part that bothers me the most. We KNOW the Q4 numbers will be terrible, and there are STILL a LOT of people buying.
As far as the conference call goes, even though I wasn't impressed at all with the last one, I do have to admit that it was prudent to lower expectations for Q4. Not to zero perhaps, but lowering them was the right thing to do. At the very least, this management team has demonstrated that they are forthright with investors, at least on the downside. That should give them a higher level of credibility, and if they do say positive things during this conference call, I think investors will give their statements more credence.
I talked to Steve Snyder quite a few weeks ago, and he said that they wanted to discuss the financing during the upcoming conference call. At that time, it sounded like they were hopeful of having it done, but there was no way to be sure. One thing I was impressed with was the candor with which he discussed the issue. He outright said that they couldn't just go into a bank and get a loan. They had to pursue other avenues, but he also said that they were sensitive to shareholder dilution. Time will tell whether they really had our best interests in mind. It also sounded to me like they understood the problem, and weren't going to let it mushroom into a financial crisis before taking action. To me, that is a good sign that we finally have a management team that can deal with these things in a proactive manner.
Craig |
