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Non-Tech : US Servis (USRV) - A company on the move!

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To: steve berman who wrote (4)2/10/1997 1:45:00 AM
From: chuckj   of 10
 
USRV has had its January effect for this year. If you were one of the fortunate to ride with it during the rise, get out. Since their reorganization, every year this time, they anounce a new contract or two and the stock rises.

After the reorg, because they changed their business strategy from their days as Microhealth Systems, they have a substantial diminishing business they are trying to eliminate. Last quarter this diminishing business was nearly a quarter of their revenue and all of the new business must offset the diminishing revenue from the Microhealth's dying operations. Their contractual obligations to support the diminishing business is also a drain on their development resources and therefore from their life blood.

Their decision to eliminate the Microhealth original business evidently was made because it was not competative.
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