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Strategies & Market Trends : Joe Copia's daytrades/investments and thoughts -- Ignore unavailable to you. Want to Upgrade?

To: Jon Scott who wrote (14403)	4/13/1999 11:21:00 AM
From: Dave Gore	Read Replies (1) \| Respond to of 25711

MRPS AND SHAL update: First, SHAL, busts through all time high today...let's see if their CMGI model starts really attracting attention now. "MRPS POSTS OF THE DAY" To: +Dave Gore (1672 ) From: +Kimberly Lee Tuesday, Apr 13 1999 10:52AM ET Reply # of 1674 Dave, agreed. MRPS continues to march. I am not selling 1 singe share. *** To: +Robert Lowers (5295 ) From: +Dave Gore Tuesday, Apr 13 1999 10:37AM ET Reply # of 5318 PLEASE READ: I think a distributor in the Airline Industry could be next....it's no secret that this distributor model in addition to their regular direct sales model is significant. I have about 25 years experience in this area and I like the biz plan. DISTRIBUTOR MODEL ADVANTAGES: distributor is already selling other products to big name Companies and has established a trust and rapport Gives MRPS faster inroads in other sectors and vertical markets like trucking, airlines, etc. MRPS will demand a minimum quantity be purchased by a distributor, often a minimum monthly which not only guarantees steady business but makes manufacturing quantities more predictable The more they buy, the better the price they get. Distributors become an additional selling arm of MRPS, yet since they are not employed by MRPS, MRPS overhead stays low (i.e. no employee payroll or benefits, no plane expenses, etc.) DIRECT SELLING MODEL: Highest margin and potentially biggest contracts but most labor intensive. PUT BOTH MODELS TOGETHER: You get additonal and steady sales by distributors in all sorts of sectors fast! Plus....huge contracts or joint ventures by the MRPS guys directly. Nice Sales Strategy...agreed? ******* To: +Brian K. Caudill (5283 ) From: +Joe-MA Tuesday, Apr 13 1999 9:18AM ET Reply # of 5318 Here is how i would figure the bottom line to MRPS based on this contract alone. >>Microphonics is guaranteed 3500 111RCK units over 24 months beginning June 1, 1999. The units are delivered and invoiced at the rate of 146 units per month. This contract brings Microphonics in excess of 5 million dollars in 24 months at the rate of over $211 thousand per month.<<<< These monies, in my understanding are "gross profit" numbers AFTER cost of product = $1,445. per unit sold as gross profit. On a yearly basis that's $2,532,000 – estimated 50% internal overhand and expenses/ taxes = $1,266,000 = .12 cents a share on a yearly basis. Given the .27 cents a share figured previously ( althougha good case can be made that it is .35 cents) on what was mentioned in last release (and assuming 6 months delivery for 1999) we get +.06 cents added to .27 = .33 cents for 1999. Again, the above is not counting (since we dont have figures), NASCAR, Army Corp of Engin., Delco, or most of what is possible from GM plants, nor future contracts, yet undisclosed. So, extremely conservatively, we are over .33 cents per share for 1999 x a very conservative 15 PE = $5.00!!!!!! share value minimum. Joe-MA