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Technology Stocks : Future growth stocks of 1997

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To: Dan Ross who wrote ()12/21/1996 5:09:00 PM
From: Jacques Par   of 391
 
I would like to introduce a small company based in Vancouver :Integra-
ted Paving Concepts(IPS-VSE).I bought a few shares last April at $0.70.
They are now trading at $1.80 and I think the growth of the company is
only beginning.

IPS main product is <Streetprint Pavement Texturing> a patented pro-
cess for imprinting asphalt and replicating hand laid brick.The pro-
duct is simple, very nice, easily installed and much cheaper than con-
ventional bricks.The most interesting point is that you and I can make
our own judgement instantly by a simple look. No genetics, softwares
or microchips technologies out of reach to the normal human being
brain.

The product was researched and developed in 1990 and the company began
selling it in 1993. Last June,there were 252 Licensed Applicators
throughout North America. A most interesting point is that the product
is going international.IPS has so far concluded Master licensing agree
ments with major asphalt paving companies in Japan, Germany, England,
Israel and Korea and other arrangements are coming in Western Europe,
the Pacific Rim and South America.

The company bought a building last May in Cloverdale B.C. to house the
North American sales office, warehouse and manufacturing operations
and meet the growing demand.It also founded an international subsidia-
ry IPC(International)Inc in Barbados to expand its production capacity
and to meet the growing world demand.

Many efforts are made to promote the company products:participation to
major construction shows, articles in asphalt magazines, and a featu-
re in a TV show on stocks and investments. The company sends informa-
tions to the shareowners on a regular basis and publish a newsletter
for the Licensed Applicators. An Investor Relations Manager was appoin
ted in August to increase awareness of the company in financial circles.

The company seems to be very well managed. It has recently appointed a
Vice-President for International markets as well as a controller.The
following table presents some financial statistics for years ending
March 31 as well as my humble forecasts for 1997.

Year 1993 1994 1995 1996 1997E

Number of
Licensed Appls 0 40 135 225 325

Revenues($M) 0 1.03 1.94 2.84 5.30

Net Earnings($M) (0.56) (0.10) 0.41 0.34 0.53

Earnings/share($) 0 (0.02) 0.07 0.05 0.07

Average shares o/s(M) 3.52 5.04 5.92 6.87 7.56

I think the shares are fairly evaluated for the moment. My forecasts
for 1997 are although conservative and the results for the six months
ending Sept 30 to be released soon could change the situation.Anyway,
this company seems to have a bright future.

J.Par‚
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