Dug this up looking for info on SOST...
After 86 years, Titanic symbolically completed its transatlantic voyage and came to port in Boston. Recovered on August 10,
1998, "The Big Piece," the largest section (26-ft. by 20-ft. section of the outer hull) of the most famous wreck in history to
reach the surface, was recovered from the ships wreck site 2 ½ miles below the North Atlantic Ocean by an elite expedition
team led by SOST.
Formed in 1987, SOST is the only company permitted by law to recover objects from the wreck of the Titanic, which sank
in 1912 approx. 400 miles off the coast of Newfoundland. After discovery of the wreck (1994), SOST was granted
salvor-in-possession rights to the wreck of the Titanic. The court award includes the exclusive rights to photograph the
Titanic and own all of the objects recovered from the Titanic wreck site.
SOST is committed to keeping the artifacts recovered from the Titanic wreck site together as a collection, making them
available for exhibition to the public, and capitalizing on the commercial opportunities available to the company without sale to
private collectors, except for a limited supply of coal recovered from the Titanic for conservatorship by the general public.
Each piece of coal comes with a display case protecting this rare object and is accompanied by a numbered certificate of
authority (sold for $14.95 plus shipping). No other items recovered from the wreck site have been available for public
acquisition.
SOST, has conducted four research and recovery expeditions to the Titanic wreck site and recovered approx. 5,000 Titanic
artifacts, including a gangway D-Deck door weighing more than half a ton. To date, only five major exhibitions have been
held, but this is in the process of changing, as the astute management team led by Pres. and explorer George Tulloch seeks
opportunities in other cities while expanding its merchandising product line.
Revenues for FY'98 jumped to $4.7 mil., with net income leaping to .21 vs. .01 for the prior year. Revenues for the 1st half
of FY'99 (ending Aug.'91) vaulted 380% to a record $7.2 mil., with net income surging 195%, or .15 vs. .05 for the same
period in the prior year. The company's balance sheet continues to strengthen with shareholders' equity increasing
consecutively for the past six quarters. Also, by licensing the audio-visual and other rights to the '98 live Titanic Expedition,
SOST was able to generate an additional revenue of approx. $3.35 mil. Furthermore, SOST was able to digitally photograph
the bow and stern sections of the shipwreck and intends releasing a three-dimensional imagery of the Titanic as early as the
spring offering the potential of licensing agreements with large entertainment companies.
After we recommended the stock in February at 9/16, the stock catapulted to almost $2.40 and, during last year's LPS
debacle, successfully tested support and is once again establishing an uptrend for a next objective up into the 3-4 area (but
must first close above 2 ¼). Of the 16,187,128 shares outstanding, insiders hold approx. 56%. The increase in revenues and
earnings reflects the continued strength and success of SOST's Exhibition program, as well as its commitment to expand the
size and scope of its Titanic merchandise line.
Covered with rusticles, microorganisms are rapidly eating the iron from Titanic. It is estimated that Titanic is deteriorating at
a rate of 1/10 of a ton each day, making it likely that the "20-ton Big Piece" is the only sizeable piece of Titanic's structure
the public will ever get to see. To date, over 3.5 million visitors have attended SOST's venues, which reflects the worldwide
market potential for the Exhibition program of SOST's Titanic artifacts. Buy for an ultimate target of 6-8.
source: konlin.com |
