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Gold/Mining/Energy : Big Dog's Boom Boom Room -- Ignore unavailable to you. Want to Upgrade?

To: Ken Ludwig who wrote (173045)	10/1/2012 8:18:49 PM
From: Ed Ajootian	1 Recommendation Read Replies (2) \| Respond to of 206195

Ken., Ridgeline (RLE.V) -- yes I believe they could record a very small positive EPS for their 3Q (i.e. quarter ending 12/31/12). One thing that is a big unknown is to what degree their non-recurring ramp-up type costs will continue on in that quarter as occurred in the quarter that ended 6/30. I would think most of that stuff should be ran through by then (but I also wasn't expecting so much of that stuff to be incurred in the quarter ended 6/30 either). The other hurdle to getting to positive EPS is that they record something like $700K per quarter in intangible asset amortization each quarter, which came from when they acquired the water-treatment technology. I agree that psychologically it would be great to see black ink on the bottom of their P&L for FY 3Q but I don't think many of the folks who are buying the stock now are basing their investment decision on that quarter's bottom line results. As a result of the recent developments (coupled with essentially no move in the stock price) I'm expecting so see some new analyst coverage come out in the next few weeks, it will be interesting to see what buying that may bring in. Also I'm expecting them to go on a European tour later this month, maybe the Euro-types will understand this growth story better than the Canadians & Americans.