To: Sprintcar who wrote (1816 ) 3/3/1999 6:46:00 PM From: learnstocks Read Replies (2) | Respond to of 8189
Sprint, Great post(your # 1816). This brings up some questions in my mind, which are as follows: 1. As to the 25-30 A07 units being shipped weekly to Ford. Let's say they are shipping 30 a week or 120 a month or 14,000 a year to Ford. If we estimate the net selling price at $400 a unit (based on 60% of retail, more or less), does this mean that gross revenue per year from the contract to be about $5.6M? If we use a profit margin to be 30% of gross, we estimate net proft from this contract to be $1.7M, more or less. Does this sound reasonable. 2. Based upon knowing personally how NASCAR works concerning new items, it seems very plausable that they went to the races for 3 years to prove the viability and reliability of the units AT NO PROFIT before they "won their spurs" from NASCAR. Does this square, Sprintcar, with your racing knowledge? 3. I can understand the reluctance to discuss any details of some past IPO discussions or possible transactions. Why? There could be SEC ramifications. For the past efforts or for any future IPO thoughts. I know I would never discuss anything about any IPO thoughts that I may have about any stock that I would have to report under SEC rules and regulations. Would YOU? 4. About the SPX private label Europe contract, I would have lots of scepticism. Especially if told that it was for 10,000 units. I would really do some due diligence on checking this one out. I have too much knowledge of marketing in Europe to believe anything that the Belgium or Italian offices of their distributor in Europe would say unless I went directly to the customers and confirmed the orders. More later. This information, however, Sprintcar, is very very interesting. Vic