show details 7:49 PM (8 minutes ago)
Hello Moderator Team –
This response may be of general interest to the forum:
From: Eric Lehner
Sent: November-09-09 7:47 PM
To: Shareholder X
Cc: Paul Knopick
Subject: RE: WNBD Shareholder Question: Store Count
Hello Mr. X,
There is a balance to be struck between announcing developments that are considered “routine” and others which are material, or “significant”. A common sense way of determining whether something is material is to ponder whether knowledge of this fact, good or bad, may have a bearing on someone’s decision to buy or sell shares. Because such individual motives may vary, there is considerable estimation involved in making such decisions. From the regulatory perspective, there is concern that both buyers and sellers have a reasonable basis on which to make informed decisions. By this standard, the listing of our product in a single independently owned store would probably not merit the use of a national news wire service, unless there is something unusual in the nature of the store, such as being in a far flung territory, or particularly large, or in a new category of trade, or iconic in some way or in a position to affect the trajectory of the company by the mere fact of its presence in that store. When a group of stores (even a small group) is involved however, then the situation becomes more material, or if a State receives its first listing. There are many other variations as you have seen. This is not an exact science.
Once stores have placed their opening order, there is considerable variation between stores as to how quickly they move the product to the shelf after they have ordered it. There is also considerable variation between individual members of staff at new stores as to who knows that the product is there, whether their own computer system has it showing up yet, etc.
I believe that it would be material for Winning Brands to exceed certain numerical benchmarks of store count, and this will be the subject of a news release, but only when we have the actual names and addresses as verification. Merely being told by the distributor(s) that we have exceeded a certain number is not good enough. We need to have a list which can be key entered into the store locator. Such lists are requested by us continuously and supplied by distributors periodically. This is why updates to the Store Locator may seem to observers to come in spurts.
There will be a temporary lull in the growth of the Australian store count as we focus on servicing our existing accounts there pending arrival of much larger inventory to Australia/NZ. We are continuously refining our timing of shipments to anticipate likely needs there and are fine-tuning the size and timing of shipments to facilitate store count growth. As already disclosed publicly, the next shipment due to arrive there is close to 10,000 bottles. This will enable us to accelerate the pace there again.
In order to provide all shareholders with a level playing field, I will cc this response to the Moderator Team as well, with your name removed.
Eric Lehner, CEO
From: Shareholder X
Sent: November-04-09 12:40 PM
To: Eric Lehner
A quick question for when you have time.
If more of the news of stores were released (via a national pr) would it not increase share price (at least some, as many more will know of company growth) which would in turn decrease amount of shares that need to be sold by the company for equity?
I appreciate your time & effort. This has been on my mind and can't really find an adequate answer through the boards or my colleagues.