Good Evening Sam, am used to seeing you on Last Mile thread, welcome. I spoke earlier today with Mr. Steve Wilcox the COO. He told me that after the CC, he met with the analysts of Cowen and Volpe to clear up certain questions they had. He basically told me that in their projections the analysts seemed to have been counting on project proposals turning into contracts in the 2nd quarter and to date that has not taken place, thus the downgrade. I find it extremely disquieting that this was done "behind closed doors". The mgmt seems forthcoming but inexperienced but the analysts should have known better than to pull something like this and on the CC they gave no indication of concern other than technical issues like the calculation of eps due to preferred share dividend. If they did not like what they were hearing they should have said so point blank and for everyone to hear, IMHO. Mr. Wilcox fully expects to show 2nd quarter growth but more moderate and he did admit to increasing pressures on pricing incl Y2k due to the many tools available and he stated that many firms are still in denial. Personally, it sounds like its getting harder for the little guys to compete against more established firms like the CBSL, Mast, Kea, Imrs, Synt and Chrz of the world or those with strong paternal connections to large corporations like Ubix. As a disclaimer, I have positions in some of these stocks as well as CMND (Yikes!!).To his credit, Mr Wilcox returned my call on a day which for him I'm sure , was extraordinarily busy.
Best Wishes,
Patricia |
