Here is part of Tmex post recommending EMCB as a longer term play.
From: TokyoMex
Wednesday, May 20 1998 9:58AM ET
Reply # of 19778
For slow rise,, not a momentum,,
Today's penny
EMC Group, Inc. --- EMCB (OTCBB)
Close: 5/19/98 7/16 by 1/2
52 week high: 1 1/8
52 week low: 1/4
Approx shares O/S: 9 million
Approx float: 1.7 million
***CORPORATE OVERVIEW OF EMC GROUP
(thanks to "Nescom")
EMC Group Inc. Is a company formed for the sole purpose of corporate and franchise development of Treats' in the US. (Website
is treats.com ) Treats is a retail speciality
bakery concept that offers the customer fresh Hot from the oven baked
muffins, Cookies, Cinnamon Swirls, brownies, and other high quality
baked products. Entrepreneur magazine for five years in a row has ranked Treats as North America's #1 franchise chain in its industry category.
The company derives its income from three potential sources; the sale of franchises, operating profits from stores, and royalty income.
Here is something on the industry.
The specialty Coffee/Specialty Baking franchise concept has been
successful addition to fast food franchising. The snack food or break
food market-segment is experiencing continuous growth and the specialty coffee market is experiencing unprecedented growth. A number of large national chains have established a strong presence in North America.
The most significant chains are Starbucks with approximitaly 1300
corporate owned stores and Second Cup with 240 stores. These stores
have established a rapidly expanding market for coffee related
concepts. The Speciality Coffee Association of America projects that
10,000 coffee cafes, espresso bars and espresso carts will be operating by 1999 with a total annual retail revenues of $1.5 billion.
Corporate growth:
The company's expansion will be accomplished through a single store franchising, the sale of Area Developing territories, corporate owned stores and acquisitions.
The company intends to grow at a rate of 20-40 stores annually. Based on demographics, the market potential in the US alone is over 2,000 stores.
By 2002, system sales in the US alone are projected at $73 million, corporate sales of $50 million, with $5.9 million to the bottom line.
Anotehr item I would like to point out is that the cost of opening a Treats' store is only a fraction of what it would cost to open a
competitors store.
***A Great Article on EMCB can be found at:
smallcapjournal.com
*** EMCB has news in pipe line
Major things are rumored to be in the works for EMCB. Supposedly, two releases will be made in very short order. They may involve an
acquisition, and/or expansion of 150 more franchises. A PR firm is also rumored to be gearing up in the next day or two to spread the word on EMCB. They are lining up a network of brokers as well to achieve this task. It is also said that there is a requirement
to have the price above $1 . . . we are not quite sure why yet. But if
true, this PR firm should be very determined to be successful in their
efforts.
****CONCLUSION
EMCB Group, Inc. is a terrific company with a great concept. Not only that, but if rumors are correct , major promotional activity will be occuring imminently.
An upcoming release/releases should detail acquisitions and or expansions that will be very healthy for the company. The stock also has a relatively tight float, and moves very well on buying. Therefore, if even half of the promotional rumors prove true, EMCB will be destined for much higher levels.
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