Dynamic Response Group Inc. (fka DRGZ)

[RandyKCMO]

DRGP PRO/CON DISCUSSION POINTS

I don't suppose I'm a very good gauge of public sentiment... as I've been singing DRG's praises and buying shares while we went from 7 cents down to 2.6...however, here are a few of the things I like/don't like about DRGP.

PRO/POSITIVES:

1. Revenue Growth. I think all agree this is DRG's trump card. By any standard, DRG's Market cap should not equal the total revenue of just one month...make that 3 weeks. That's silly. While gross revenues were $20 Million in 2007, after Q2 is reported we should have over $30 Million in the preceding 4 quarters and we then have our biggest two quarters to come. I think $50-60 Million in revenue in 2008 is likely.

2. Management/Current Talent that is Producing this Growth. If it was easy, everyone would be doing it. DRG stands out above the crowd. It's one think to double or triple you revenue from 300K or 600K....but to do this increasingly with 10's of millions of dollars is incredible!

3. Fiscal/Financial Control and Creativity. Generating the revenue growth on a shoe string budget was amazing. As cash flows and profits increase, our growth curve should continue to accelerate. When will it slow down? Who knows? I've been told 2007 was a restructuring year, 2008 will be a foundation building year, and 2009 will be a growth year. Hmm...and we're doubling and tripling revenue now. Could next year actually get better than this?

4. Building a Real Company for the long haul. The company is not trying to create a quick turn or provide quick fixes/profits. They've signed on with Burson-Marsteller for a reason....heck they've even signed on with a respected SEC Attorney to set beginning stages of uplisting to AMEX or NASDAQ.

5. Growing Stable of Marketable Products. Current products are selling well. CC told of several new products to be marketed. We should hear about some of them soon. Year-end CC referred to two pieces of exercise equipment and two cooking items...and I believe Melissa also mentioned a green item on Q1 CC. Will any of these become block-busters? It's possible, but we shall have to wait and see.

6. Increasing Investor Awareness. At least for the present we seem to be holding a trend reversal and a higher stock price. (about the time I say this, it could change). We have at least a few new eyes on the company, ihub boardmarks 35. I've also noticed a few new names on the Yahoo Message Board.

7. Medico Express. Who knows what all this will involve and result in? Perhaps a drag on near term revenues and earnings, but longer term could be huge.

8. Management Believes in the future of the company. Check out the open market buying of CEO Melissa Rice!! There are actually two full pages of buys....hundreds of thousands of shares. http://yahoo.brand.edgar-online.com/displayfilinginfo.aspx?FilingID=6048172-1344-11528&type=sect&TabIndex=2&companyid=69343&ppu=%252fdefault.aspx%253fcik%253d1098685

CONS/CONCERNS:

1. Company Doesn't Care about Shareholders. Since company has gone public it has mostly gone down in price. Here we sit at 3 and 4 cents a share. If this company really had a bright future shouldn't it be reflected in the share price? My Response: Herein lies the dilimma. Revenues every 3 weeks are more than current market cap. Management is clearly concerned and has committed to doing what it can. Says fundementals are a great way to increase shareholder value. I agree!

2. Company is a Diluting Machine. The company has gone from 65 Million shares outstanding in early 2007 to just over 90 Million shares outstanding on May 15, 2008. My Response: While this is true, since CEO Melissa Rice has come on board, dilution has been greatly slowed and better managed.

3. Company's Balance Sheet is Weak. Cash position down from $571K on 12/31/07 to $141K as of March 31, 2008. Plus company's liabilities are greater than it's assets. My Resposne: All this is true. I bought/am buying this stock because I believe this will be changing as company continues to grow.

4. There are millions of shares out there that will be sold into any rally. This was Rich2rich's main point. My Response: Yep, this is a partial problem, OR depending how you look at it, an incredible opportunity. I know, we've all heard this before. Question to answer. Is there real value here?

5. DRGP is just like every other stinky pinky and bulletin board company. How many companies have you actually seen succeed? That is actually become profitable and uplist to AMEX or NASDAQ? That's how likely DRG is to succeed. My Response: Isn't that the point...some do succeed. Isn't that what you're trying to figure out by reading this thread? Just maybe this will be one of them.

6. Better Business Concerns as stated in post #940 There have been 30-40 complaints filed for some products and 4-8 for others. This is bad. My Response: While there are some negative reports out there, what I could gather most have been resolved and by comparison to the number of products being sold, the number is amazingly small. See my response post #944.

I'm sure there are more. These are just for starters. If you have suggestions, post them and I will try to include them in my next Pro/Con Post. Thanks.

Randy





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