Sorry, Buzz. I live here in San Diego and HP does build 'em all. I don't believe they would trust anyone else to. Quality is far too important an issue for them!
Since you asked for negative spin, here's mine.
First, any yo-yo with a little cash can get any small electronic manufacturer to build a product. I've seen it before! You need to ask yourself why this part of the deal took so long to consummate and why has the manufacturer not been named!
Second, ISO9000? Gimme a break. You need ISO9001 to get EN certification if you wanna do business in Europe. FDA GMP, no brainer why this is necessary!
Third, don't you find it strange that the identity of the party doing the manufacturing for CCSI was mysteriously left out of the press release? I find this extremely odd and personally, this would be quite unsettling to me if I were long CCSI! Was this an oversight?, or is there a reason behind this omission? Every press release of this nature that I have ever come across gives equal billing and promotion to both the primary party (in this case, CCSI) and the manufacturer (?). Given Darby's track record at corporate excellence, this could just be an outright oversight. On the other hand, the investment community has not been definitively advised as to whether this product will be built by a reputable concern or if it will be built in the back room of 'Vinnie's Radiator Repair and Electronic Assembly' just down the road in Queens! Look at this most recent press release from SPRX to see how it should be done (no hype intended, just in need of a readily available typical example of how it is properly done).
"FluoRx, Inc. Partners with UMM Electronics"
go2net.newsalert.com
Fourth, I would wait until you yourself and other longs here speak with CCSI management and get some background info on this 'phantom' manufacturer. Until then, there is nothing to get all excited about over this press release! Do any of the longs here dare to check with CCSI and post the identity of the manufacturer or ask CCSI to reissue the release with the identity of the partner included? I wonder! I certainly would if my money was on the line!
Fifth, a manufacturing agreement is critical to completing the distribution agreement; without the first, you won't get the second, so for CCSI this is good. The fact that there will be separate deals likely means that all major partners (such as Becton Dickenson, Baxter, etc.) are not interested (not so good). But it is progress nonetheless; at least someone out there will build it.
Sixth, keep in mind that this is not the distribution agreement. And the sales/training facility in Conn. bears evidence that CCSI has lost faith in completing such a deal! And last, ask yourself, would any rational doctor / health facility buy an instrument from a startup company that does not have an affiliation with an established medical manufacturer and has only limited financial reserves (one year or less)? If I were making this purchasing decision, I certainly would consider this over and over again before making my mind up.
In summary, before this stock can really fly, either a reputable distribution deal has to be completed or SPRX has to fall flat on their faces. As long as neither has happened, the volume of sales will be low if not non-existant. If this press release is meant to be a distraction (i.e., the partner is actually a lower tier manufacturer with limited production capability whose identity is best hidden), then this is probably a diversion to allow insiders to dispose of some stock at a good price one last time. All my opinion, of course.
Personally, it looks to me like Darby has thrown out an open invitation for an additional attack by the shorts. Don't be surprised if Mr. Pink, Barbara Payne, and others return for one more feeding.
Good luck to each regardless, I'm glad Darby has done something for you finally, little as it may be. But you need to demand more info from the company, NOW!!!,and take caution on the road ahead!
And for my last jab, I see that this press release came out around 2:30 EST, during trading hours. Beware any company that makes a habit of issuing press releases during trading hours. CCSI has been notorious for this. This behavior is unprofessional, unethical, highly suspect, and personally, I find it extremely repugnant!
Rockin' Robin |
