Gosh, it just never stops.... DAN, and NEW INVESTORS: HERE IS A Q/A:
I wish there was someone on this thread that could summarize the answers to common questions. Anybody got the time?
Dan, I am trusting that your questions are valid to you and are not meant as "scare tactics". I don't mean to be rude but there are many that really want MRPS to go DOWN, so they can pick up cheaper shares. I am going to answer all of them, even though QUESTION #2 is so bizarre, I can't even believe you asked it.
.....(NOTE: my answers in A:, your questions opposite Q:)
Q: It is now clear, MRPS does not have a second source supplier for either of its products This could cause problems later. What happens to Microphonics if some jerk at Bulova goes on strike? See what I mean?
A: Not really Dan. You know they have 2 manufacturing plants so there is some protection for them. Two products and two manufacturing plants, so half their prodcuts should always be fine. Plus, I am not aware whether the workers at the Bulova factory have ever gone on strike. Is anyone?
DAN, job #1: why don't YOU check and get back to us. Check on their contract. I would say the odds are very small, but if you can verify they have EVER striked get back to us. Same for the other factory. Get us names so we can verify that what you found out is the truth....thanks. Plus it's not like customers can get this product anywhere else, so small delays of a few weeks are not a concern. A few months certainly would be.
So we will look for that STRIKE INFO, DAN....ok?
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Q: Talking to 37 companies is OK, but nothing was said about present customers. Maybe there aren't any?
A: First.... you say 37 companies is just "OK" Hmmmm... I was expecting more excitement that that, Dan. Geese, LOUISE!
Second, Dan, you are missing an important point. They are in NEGOTIATIONS with 37 companies, and talking to many more. You get the difference? "Negiotiation" means that the customers have reviewed and WANTS the product. It is the final stage before a final decision.
As to whether they have customers, I am shocked you would suggest such a thing after all the news releases of contracts. You are saying this might be a total scam company I guess. If that is the case, I suggest you either visit the company HQ. You could call Dale Earnhardt I guess, or maybe one of the members can put you in touch with the GM plant employee they spoke with. Somebody else want to help out Dan? I am not sure how one really can believe anything unless you go visit the factory yourself. Maybe drive to the Bulova plant? Anybody have any ideas here to help Dan out?
Dan, are you sure you want to invest in MRPS....maybe you should not even be on the BB/OTC. If you don't like MRPS, you may not like any stock on the BB. It is the best stock I have found, bar none, on the BB in 20 years of trading.
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Q: patent-pending? This contradicts previous statements that Jimmy bought the patent from the Germans back in the early 1990's. I'm not sure just what Microphonics owns.
A: Patent pending was mentioned in the release, so that must be accurate. Anyone know how long a patent is valid or if a German patent carries over to the US? I guess I am not real concerned because nobody has a better mousetrap, Dan. This is a 5th generation product. GM tested it for 1.5 years. Do you know of any of the other products on the market that are as good or better?
JOB #2, Dan: Do a little DD and let us know. Try and find out why GM, FORD, NASCAR, etc, chose MRPS's product over others. I assume they tested other products and chose MRPS's for the "selective" hearing frequencies, ease of use (20 minutes to train employees) and quality control.
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Q: 1.4 million shares to an investment bank. This is a far cry from a PR firm. We need to learn more about this. a) If the banker paid MRPS money for those shares, there is probably nothing MRPS can do. b) If these were restricted shares and the banker jumped the gun, they probably know something we do not know. c) worse still, what if
these were preferred shares? We could be in for some serious dilution.
A: Best question you asked and here is my repsonse:
My understanding is that MRPS hired an Investment Banking to add value to the company, either through helping them with obtaining financing or finding them joint business partners or even testing the waters to see how mcuh they were worth in a buyout to a major company (i.e the things that an investment banking firm does)
This firm was paid 1.4 mil shares of stock to do this. But they performed no services whatsoever and did not abide by the contract. The attorneys for MRPS seem 100% sure that they can prove that no services were performed, and therefore the stock was not legally theirs to sell.
Regardless, however, 1.4 million shares is not something I would describe as serious dilution. I would think they were already included in the O/S because they were issued a long time ago. However, even if they weren't, worst case they would increase the O/S about 10%.
Certainly NOT serious dilution; in fact minor dilution and again that is worst case scerario. I believe they are already included in the current O/S numbers.
Plus all shares have now been dumped according to Miles and therefore that big pot of selling is over. Consider we had an ILLEGAL dumping of shares of 1.4 million, I think we held up really well.
And the selling of the IR firms shares is OVER.
Does that make sense? I will talk to Miles on Monday morning although he will be gone virtually all week in the field (presumably trying to close deals)
PS-- Dan, maybe you can answer one question for us. I think you said you have a LONG position in MRPS. I know you said you want it to succeed and the stock price to go up.
I can't help but ask again about your question #2. Do you make it a practice of investing in companies that you think might be scams?
Anyway.....GOOD LUCK ALL LONGS (and you too Dan if you are long),
DAVE
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