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.

Microcap & Penny Stocks : FAMH - FIRAMADA Staffing Services -- Ignore unavailable to you. Want to Upgrade?

To: mike h who wrote (2928)	2/8/1998 3:58:00 PM
From: Mark[ox5]	Respond to of 27968

Mike H, You made a good point with this "last years financials would do nothing to end the negative speculation on this thread. Assuming the FAMH financials showed .11 from recurring earnings would we not then hear how the Myriad acquisition will lower margins etc etc" Even if FAMH made .50 I would assume some people would say "well now that Myriad is the bulk of the company you just watch while margins shrink!!" Well that will be true and people should accept that now. Since Myriad is a $60M co (with very low margins) and FAMH is a $8-10 M co (with "high" margins) that must be expected. In MOST cases (not all) as a company grows bigger it is harder to maintain high margins. I would of much rather FAMH bought 2-3 pure temporary employment companies and keep decent margins, rather then 1 big co with very low margins (Myriad) but whats done is done, and if everything is kosher the co. has grown 7x in 1 acquisition. I dont like the delay with the financials one bit.. especially because I dont understand combining a newly aquired co's financials with the established co, especially since Myriad wasnt part of FAMH during 1997. However, if FAMH doesnt pool the 2 companies financials you would have people on the thread saying "What do financials show?? All they show are FAMH before Myriad, and thats not what the company looks like now!!!! These numbers are useless!!" So if they do pool the numbers, shareholders would have a much better idea of what FAMH will look like going forward.. so in that sense it may be worth a bit more of a wait. As devils advocate, I dont see whats taking so long because FAMH financials should be done in early Feb (per Ira on CC) and Myriad's should of been done before the aquisition... thats what we were all told, and its part of the due diligence in buying a co. My main concern is I bought a temp placement co. with $8-$10M in revenues and .06 EPS for the 1st half of the year and a projected .06 in the 3Q (so thats .12) plus some more in the 4Q. Now, 2 months later I have a $50? $60? $70?M temp placing/financial administration/TV production co? I think to this day if it wasnt for Carol M. we wouldnt even know what Myriad does. We all assumed (for a few weeks on the thread until she called them and clarified) that it was a temp agency. We also dont know what the deal is with this new TV deal. Is it for more exposure? What is in it for FAMH moneywise? Are they doing it for profit from production? Free advertising? Because Ira is buddies with Downey? We need these issues clarified and since Ira doesnt want us calling and wont answer faxes apparently (is Lebed still waiting for his returned?) its a bit disconcerning. Hopefully Brad can get on the Bat phone or Buckeye on the BuckeyePhone & please report back to us peons on SI (we are not worthy to speak to Ira directly or receive his faxes) regarding these issues. Some thoughts, Mark