Hi Andrew,
<< The way I understand it is that no one ever wins a deal made with the devil. There is always a substantial cost to pay. >> Truer words were never said.
Regarding Piercy receiving a salary from TSIG, that, according to my understanding, is still not a fait accompli... and it may never be. Don't forget there was a good reason for Rob Gordon to add the addendum to the purchase contract wherein TSIG obtains the exclusive rights to the "MusicCard(tm)" in perpetuity (10 years plus renewable at TSIG's option every five (5) years). The audit must prove up Piercy's claimed figures to TSIG's satisfaction or TSIG switches to Plan B and just pays a royalty. And I happen to agree with Bob (REW). Just how much selling do you think the old dealers or distributors are doing now? If your answer is little to none then I believe you are close. And if TSIG is to continue to do business with these old CCI (Nevada) dealers or distributors, the structure, I believe will have to be changed so they are legally similar to manufacturer's reps. In other words, we can control the pricing so they are not competing with us and selling MusicCards(tm) and CDs at a lower price. If my understanding is correct, a dealer or distributor cannot have his pricing structure dictated by the mother Company..., but a manufacturer's rep can.
<< As long as Piercy is involved with the company and they are paying him 250K/year, the APPEARANCE of shady business will persist. >> And, I agree, Andy... appearances do count. Look how long it has taken Jaguar to overcome the "reputation" of their infamous electrical systems. On my first Concorde flight to London years ago I well remember the sinking feeling in the pit of my stomach when I learned that all the electrical components were by none other than Lucas... the same manufacturer of Jaguar electrical parts.
<< How much does that cost TSIG? >> IMO, too much!
<< He is an albatross around TSIG's neck, and it looks like we may just have to live with that. >> Maybe not!
Perhaps we should all put a little more faith in Rob Gordon, James Guild and the rest of the team. Their fortunes as well as ours are going to be determined by the decisions they make and I am quite sure they are well aware of all of these little bumps and will handle them in a way that maximizes TSIG's success and shareholder value.
As an aside, Andy, I want to thank you for your many valuable contributions to the thread. You have helped make it one of the finest threads on SI and elsewhere.
Be Right!!!... Sit Tight!!!
Best always,
Marty |
