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Gold/Mining/Energy : Autumn Industries Incorporated (ATU-V) -- Ignore unavailable to you. Want to Upgrade?


To: John Korven who wrote (334)5/7/1999 10:54:00 PM
From: thewiz  Read Replies (1) | Respond to of 428
 
THE WEAK LINK?
Another disappointing week with pathetic volume and stock stuck at 14 cents. Have been going through the company website with some care lately looking for the "weak link".

Facts
a)March 11/98 - alliance with Hotab (produces medium to large
scale complete combustion systems and have sold 100's in Europe
b)Nov 13/98 - alliance with Talbott's Heating Ltd. and Advanced
Recycling Equipment (produce small to medium systems)
c)Nov. 17/98 -alliance with AF-Energikonsult Syd AB (consulting
company with expertise in the above)
d)April 29/98 - alliance with Focus Industrial Contractors
(infrastructure and installation of Hotab and Talbott systems)
e)Jan. 25/98- received purchase order for a Talbott system in the
amount of $490,000.00 (no further word as to the status of this
project: started? completed? cancelled?) WOULD LIKE TO KNOW!

From the above it is quite obvious that ATU has at its disposal a product to fit any job regardless of size, consultants to assess the
requirements of the project, the ability to construct the needed infrastructure as well as installing the actual units. In addition it has a market as large as the country itself (not just B.C.)
After analysing the above there appears to be only a single "weak link", that being the inability of the present personnel to successfully negotiate the deals. For some unexplained reason, they seem to be totally focussed on hitting the huge contract while sacrificing many potential smaller deals. The question is not "WHO" makes the sale, it's "HOW MANY". I would assume that Hotab must have included an "out clause" should ATU fail to produce and time is passing bye rather quickly. I can understand as well, that the frequent issuing of Options and PP's has negatively impacted the stock price but am confident that some positive developments could reverse this trend and suitably reward the many patient shareholders.