Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : LORD Ernie's picks. -- Ignore unavailable to you. Want to Upgrade?

To: LORD ERNIE who wrote (125)	11/4/1999 5:23:00 PM
From: Lola	Read Replies (1) \| Respond to of 526

I had not seen that before Lord Ernie . . . thanks. There's a little bit too much BS in this press release for my liking although not really outright lies. PMR, a Laguna Hills, Calif., subsidiary newly acquired by Loch Harris Inc. (OTCBB:LOCH - news), reported more than $900,000 in direct and indirect booked sales in October, according to Loch Harris CFO Mark Baker. ''That amounts to 23 percent of the more than $3.9 million PMR reported for their previous fiscal year,'' he said. They mention that PMRs direct and indirect booked sales for October were $900K which amounts to 23 percent of the more than $3.9M PMR reported in their previous fiscal year. That is the most creative mumbo jumbo I have ever seen in a press release. First of all they are not really saying that the $900K is an increase over the previous year even though it seems that is what they are saying. They're saying that's how much was booked in October. A manfacturers' representatives bookings can vary greatly from month to month. One month you could have $100K in bookings while in another month you might have $1M. Also, they mention that they are a manufacturers's representative not a distributor or a manufacturer themselves (PMR that is). That makes a huge difference in how yiou look at their annual sales. A manufacturer's representative is paid usually 5% commission on total sales and he is responsible for all expensives incurred in obtaining that business so you're really looking at more like 3% profit on total sales. Those kinds of profits make it very tough for most companies to survive. If this company has more than 1 employee they are in big trouble because they can't afford much more than that. I ran such a company myself until I started my new business and my annual sales were in excess of $5M US. I worked out of my home and had no full time employees, I used consultants as much as possible. I find it interesting that they took a business which wasn't as successful as my home based business was and they've made it sound like it's some big deal and will drive the stock price up. Gee maybe I should have taken my company public. Well not really I don't have it in me to manipulate people like that. Lola:) EDIT: I would like to nominate this press release as one of the most creative BS press releases I have ever seen. Whoever wrote that . . . the MBA is paying off.