CPI Corp. (fka CPICQ)

[eddy2]

Not yet after I,m finished with it here.


Okay lets get started. Now we the company is buying back stock due to the treasury stock being purchased and the other equity value purchased and I will explain that shortly.



Now we all know that to buy something cost money and that is an asset be it gained from debt,depreciation or amortization the writing down of cost associated to running a business and in this case it is cost of goods as well as administration cost associated to that business that can be both put of by the taking on of debt.


Take for example you need film and you buy it with debt holding the film as collateral but until one uses the film it is not taken into account so it is put under capital surplus until it is used due to being commodity to the business but not an off the shelf commodity that is goods produced and that is very different in nature as I will explain.



Many get thrown off reading financials because they try to apply the treasury stock with what is happening with the other equity over a quarter well you can't. it is often why a year end is moved to take in all transactions that take place in as far as the buying and selling of the companies shares in that period and if you understand that you would no that every year end for a company the volume dries up.


Lets look at the relationship of the treasury stock, common shares, other equity and share holder liability debt used to buy back shares as well as depreciation associated with the asset should it be sold for less then purchased for.



Treasury stock is the price paid for the repurchase stock at market value. other equity is the price given to what the stock is truly worth. Common stock is the following yearly value of stock that was not resold held if you like and debt is an on going cost to what was purchased over the initial debt associated in selling the shares in the primary market place noted under the S1 filing from the underwriter the one selling the shares for the company.



Now can there be a secondary offering of those same shares? Yes there can but can't be sold for less then the future asset value of the company.


Now when I say future that is not to say they can't be sold for less then the previous primary offering they can and there is were you will have dilution to the former shareholders who purchased at the asking price. Good rule of thumb is to wait to value the asset value movement not forgetting to add the depreciation value as well as the amortization value to your asset value.


So what does his all mean well to the train eye a sell or a buy rating on the stock and that is were your DD comes in to really look at every thing to come up with a future valuation once ever thing is taken into account and don't be listening to others because she is a dog eat dog world and you want to be that alfa dog not the runt of the litter.

[muchwow]

... so you're saying the stock will fart out it's last breath in a hail of dollars rather than pennies?
lol I'm just a drone wondering when I'm going to walk into a boarded up photography studio.
Does "going under" look imminent to you?

[eddy2]

The misconception as to how the financials are read or the ability to in force that misconception onto the heard to our trading advantage to make money off these dead beat stocks we that can move up wards of a 100% before they go under.


he he he Jack be quick Jack be nimbal Jack make sure you avoid getting burnt from the falling candle stick.



Just warming up this one is a little scary I still have to feel her out some.

[muchwow]

Hi Eddy, I see you are a trader and very active on the boards here. I'm curious what makes our rabble worth watching!?

[JustDucky]

Completely agree. I feel VERY stale here! Sick feeling all the time, stress through the roof, and I live on this board. I just want closure. Lay me off and find a new minion. I have trouble faking enthusiasm and good will when I get none in return from my employer. It feels like the oompa-loompas are about to drown Willy Wonka in the chocolate lake.

[CPI2013]

Short term gain at best. This is a dying industry. Even if the company had new ideas, new props and a superb R$D team it would be a miracle to turn this into a profitable venture for any length of time. They have none of the stated above. Everything is ran on a band aid. Fix the outdated old stuff and limp along and put as little money into it as possible. Only short term profit to be made if they can everyone except the execs and hire all 9 dollar an hour office people in the home office and field. Get rid of the 35,000 to 50,000 a year desk clerks and replace them with young kids at 9 or 10 bucks an hour and same with the field. Manufacturing as well except the key managers to train all the new hires. Now is the perfect time to clean house if they do this. Get rid of the stale thinking and bring in new ideas cheaper at the Home Office at least.

[eddy2]

Interesting play here. I will be watching this.

[Ruffy]

it was my manager ... and from what I have heard none of us have job security and if you signed the letter you allow them to let you go for any reason they want or none at all .. Even after the 90 day "assessment" period. As they stated second page first line of first paragraph ...

[MargaretCPI]

lol... looks like i will now.

[JustDucky]

Well that is two solid weeks of wait-and-see. Getting old..
And am I the only one who thinks of these guys every time im on the board?

[MargaretCPI]

Yesterday on my conference call (we finally had one) we were told lots of new and exciting things were coming our way. ...but my dm wasn't allowed to tell us yet. That doesn't make any sensem why can't we know now. If everything is as good as she's claiming, then why can't she tell us what's coming?

[SoDone]

Yes, we were told that Jay is still with the company. Not sure of his "title" but he is one above Bob now I believe. Don't hold me to that though, cause I am not positive! Can't be positive of anything with this company!! :S

[snapshot23]

I am assuming so. I know in Ontario the training and developing team are gone . The vp for Canada is now a rm. I am not sure how many rm's we had before (between Sears and Walmart) but I know of at least 1 rm who was bumped down to dm. At least 1 dm is laid ] off and in my district I know of 1 studio manager who was let go.does anyone know if Jay More (he was senior vp for international division) is still with the company?
A lot of fat trimming is going on.

[CPI2013]

Have people been furloughed from the home office? I can never get an answer for supplies so I am assuming so.

[JustDucky]

Sadly, yeah. I think so. Just weird that it seems to be happening and we are just left in the dark. Im starting to think we are in the same file as 'office equipment'.

[SoDone]

So, in other words, same crap...different pile? Because that is exactly what it is going to be! Those people have run the company into the ground, and will just continue to do so by giving everything away for free, and treating the associates like they are the reason that the company is tanking! Oh I love my job! I am so very tired of being lied to by this company it isn't even funny!!

[secret santa]

Where did you find out this info? Payday is next week.

[JustDucky]

So it looks like same people different name. Oh joy. Yes, it has gone through, and as of last week supposedly the new company was paying us. So anybody got a PU pay slip yet?

[JustDucky]

So it looks like same people different name. Oh joy. Yes, it has gone through, and as of last week supposedly the new company was paying us. So anybody got a PU pay slip yet?

[CdnPxlChk]

I received new deposit slips this week with a new account #. According to the response received, the deal is not yet finalized, it should be within the next two weeks. I really don't think there are any outside investors. A couple of the executives are pooling their resources and creating a new company. With that being said, not sure what the "old" is going to bring to the "new" table. I have concerns that it will be same s**t, different name, with no real advances is updating and re-energizing this business.

[nnocha]

We shut down a few days after easter

[CSPM]

We were told the buyers are those from the executive board members, not any outsiders nor investors.
Notice that the last portrait delivery schedule is April 9th, 2014. Last year it was the date when they shut down the US business. Coincidence??

[nnocha]

I am from the us side....i wouldnt sign anything if i were any of you..though we didnt get letters we were told we have a buyer almost a done deal we have 3 potential buyers blah blah blah..this all sounds very familiar. It does sound like a way to lay you all off and not have to pay the unemployment. If people are furloughed at home office then id be willing to bet its a permanent furlough. We didnt have a new audit schedule delivery dates didnt update.
PUT IN PTO TIME! i lost 125 hours. I hope that there truley is a buyer but it sounds almost exactly the same as what they did to the us. I would be very weary about all this.
Good luck to all of you

[MargaretCPI]

Ya we were told to do it last week to and then when we noticed it wasnt updated on the browser, we were told it would be this weekend. Now we're told its been cancelled for this weekend.

[secret santa]

That's crazy bc the district I'm in now did inventory last week just couldn't input it?!

[snapshot23]

Trading halts to allow the market to digest new company information.

When a company is listed on a U.S. stock exchange, it agrees to notify the listing exchange about any corporate developments that could affect trading activity in its stock—before announcing them to the public. These developments can include:
changes related to the financial health of the company;

major corporate transactions like restructurings or mergers;

significant positive or negative information about its products;

changes in key management individuals; and

legal or regulatory developments that affect the company’s ability to conduct business

The lack of trades could be due to the "sale"

Just not sure why it is taking so long to give us so notice of the actual sale, we are moving out of early March and into mid March.

I do think that there is something in the works and it is not just lip service that they are giving us. Why go through the trouble of the letters if they are just pulling the plug? Seems silly to me. As far as the severance pay (or lack of it) After reading the court order for duff and phelps, my understanding of it, is that they (duff and phelps) are responsible for paying us our wage but excluding severance and termination pay. This is a court order dated April 2013 from the Superior court of Justice in Ontario Canada. So even though it sucks it is completely within realm.

My other clue that something is being put together is the fact that photosunlimited.ca (the domain name) was registered early February. Maybe it is just a coincidence but I am thinking(hoping) it was bought by who ever our investors are.

[MargaretCPI]

So we were told there was inventory last weekend. It was cancelled. We've been told all week that tomorrow we will have inventory. Guess what? It's been cancelled again. Just doesn't make sense. Yet I am "reassured" that we're all good. We are NOT all good. Why do they feel the need to lie to us? We're not stupid.

[secret santa]

Went online this morning...you can still book appts at the studios that closed last week...wtf??

[MargaretCPI]

something fishy is going on and i don't like it lol.

[secret santa]

Anyone else hate how sears was left holding the bag for customers orders?

[MargaretCPI]

has anyone else noticed that this stock has had a zero volume for a few days now? kind of like it's flat lining. that should be a hint right there i think.

[JustDucky]

Didnt push either...left it in limbo. I dont accept anything about the letter and I refuse to aknowledge (sp?) It without further information in writing about what I am accepting. It is a blanket cover letter only to protect themselves. I know im walking the line but dont really care as the law is still on my side. See any movement? No. Starting to think I called their bluff. Now until next week I know im speaking too soon, BUT... this seems like the same old story being written by the same old author. If im wrong, I will be the first to admit it, but shouldn't something, ANYTHING been available somewhere in the dusty corners of the internet?
Anyone got the cohones to call the lawyer listed as the contact for duff and phelps yet?
Not yet. I can wait...but its tempting.

[SoDone]

Just Ducky, wondering if you clicked the "Accept" or "Decline" button on the Web Apps?? Signing the physical letter wasn't nearly as important as either of those things!! Hitting accept was your acceptance, hitting decline was your resignation. Sadly...I hit accept! :S I am really tired of their crap though!!

[JustDucky]

Aha. Well, my letter sits happily unsigned in a file of correspondence from cpi 2 years thick. I am still going in, am still working said butt off and I am supposedly unemployed? I think not. Will they let me go? Doubtful. Until I change my handle to DeadDucky I'm laying low and waiting for the bang. My three days is up, so let's see what happens next.

[CSPM]

I suppose it is going to be the end of March and boom.." Sorry, the deal fell through" and since we have all signed the letter they can let us go whenever they want in that " 90 " days probation period.

[JustDucky]

So late Feb. early March we will be told more about the sale? At what point is it no longer early March?

[CPI2013]

I wonder if anyone in the home office follows this board? I like an earlier post believe that most the home office has been furloughed since January. Probably just a handful of employees doing the only totally necessary jobs and paying only the necessary bills. That is the way it was done last year. Everything that is happening is scripted from the previous year in the states. If you can land another job and cannot afford to be getting unemployment you better get looking. This industry is a dying business. No new money is being put into the business to improve the studio experience. All outdated props and other resources and tools we need to do the job are lacking. They have and will try to limp along until they can unload this sinking ship to some fool to satisfy the bank. Tough decision on buying this company or buying a company that manufactures VCR or DVD players. DVD players will last a few more years giving the units away almost until the blue rays players get to a low price where it only makes since to upgrade. Then they are a thing of the past just like this business. CPI is ran by risk management and an efficiency expert. They have shown no track record of innovation or sales or promoting new products. They have proven the ability to consistently trim cost and manage a shrinking amount of cash flow coming in to try to keep the doors open until they can sell. There is no future in the is business or company wake up.

[snapshot23]

Sorry double post

[snapshot23]

Can you clarify, was it your studio manager or district manager who was let go today?

[Ruffy]

I am from an Ontario studio.. Our manager who has been with the company for 10 years was let go today. I also do not agree with the letter stating and I do quite "We can also end your employment without cause at any time after the assessment period by providing you with a notice of termination." Now I understand in the world you have no guarantees about anything, but now after 4 years first time .. 2 years this time so 6 years in total for my job, which I love, I have absolutely no job security. I don't even have to mess up and hey we just don't need you ... Things are not sitting well with me and this " new company "

[CSPM]

The DM said 99.99 % the purchase transaction is going through but they have not made any announcement about the date of when exactly the deal is sealed.
If they have already bought the assets of the company to keep all studios running why would they ask us to sign such letter in advance? They definitely are going to shut down the business at some point if not entirely it is partially so that they won't have to pay all long term employees severance.
I think we all better look for something else to start fresh although it is hurt.
What they did to all the employees in the US they would not treat us any differently.
Those individuals have no morale nor humane principles.

[free2bme]

Yes. You can read all about what was happening in the states this time last year by scrolling through the previous posts, starting right after Christmas '12 till we closed.

We were told we have a buyer, then we had a buyer, then be patient we're still trying to get a buyer. Then our delivery schedules became vague, and we were told to tell the customer "We'll call you, when your pictures come in."

Please make sure that your customers all leave with a receipt, and the purchased cd, no matter how busy you are. I don't care if you have to go out and buy receipt paper out of your own pocket, and if you still have the option of an email receipt, do it.

They voted the night of April 3rd, 2013 to close and then put a pop up on the computers so we could see it the next day. The RD/DMs were called, and some of those stepped up on their own time and contacted their teams, and some did not. Those teams who were not contacted found a pop up on their browser, informing them not to clock in they were closed. Your letter will not protect you, and though I'm no lawyer, I think the wording is designed to protect them not you.

[MargaretCPI]

From my understanding photos unlimited is our current executive board who are trying to buy assets of CPI. And of course the letter is a formality. It's to cover their a$$es. Basically they will be able to let us all go without having to pay us a red cent. That is how I am interpreting the information I have.
My DM was supposed to have a conference call this morning and when we all went to sign in it says the passcode was invalid. It did that last Monday to. Average tickets are no longer available and the shipping schedule only added 2 more weeks to it... or something like that. 45 day audits hasn't been updated since February of last year. I made up my own to stay on track.
There is a lot going down that makes me question everything they are doing and its making it hard to stay happy for the clients with this impending doom lurking over my head. I don't know how to tell them to get the CD without making them nervous.
I am wondering if they did something similar to the states.

[snapshot23]

I spoke with a dm who was just layed off. She was not offered any kind of severance. How are they allowed to do this?
For stores the have been closed we're you offered another position in the company?

[snapshot23]

Why do you think they are based in New York ?

has anyone noticed that things aren't being updated on the browser, such as the weekly audit (60 and 45 days) it hasn't been updated since the end of the fiscal year, the delivery schedule only goes forward a couple of weeks, average tickets, and sales goals are slow coming out. My guess is St. Louis is facing layoffs or relocation. I can't see the relocation being New York that seems strange.

[snapshot23]

I spoke with a rm about the letter, I was told the letter was a formality, from hr. If the letter was not signed it is considered your resignation.
I have some issues with the letter. First the fact that we have know idea who photos unlimited is. The letter is worded in a way that it almost seems like a leverage buyout from the top guys. When I asked the rm she said that her understanding was it was a group of investors and couldn't say who it was.
I don't like that photos unlimited has access to our personal info through sas yet they won't tell us who they are.
I do know through some internet searching that photos unlimited.ca (the domain name) was purchased through go daddy on February 8 th 2014 the purchaser was listed as private so I could not get any other info. So photos unlimited is new and not an existing company.
I really don't like that we are hired as a new hire and have a 3 month probation period. Meaning if we are fired in that time we get no severance based on tenure. That sucks. Anyone who has been around for a while who is making a good wage should be worried, I imagine that they would be the first to get trimmed.
Before I open and sign my letter I will be seeking some council on it.
Oh yeah the rm also told me the 3 days starts from when you open the letter, so if you haven't opened it yet don't do so until you have time to get council on it.

[MississaugaWMStudio]

I signed the letter. I thought, I might as well make a few more dollars before they start thinning the herd.

[MargaretCPI]

My goal is to be gone before Christmas. That is if the company even makes it that far and I have a sinking feel it won't be. My gut hasn't been wrong yet since being with this company.

[JustDucky]

There is nothing they really need to do. I was told that ui is on an individual basis, and anyone that has the hours would be eligible if they don't sign. You would also be eligible if they let you go in those first probationary months as well. Its really your choice. I was told by both ui and labor board that they are a little leery of me signing it, and suggested a lawyers advice. So, that is about it. UI or employment. No raises for a year at least is my bet, and a real push for the next year IF everything pans out. I've had friends already dropped (no letter) and will not be signing. I feel sick. I don't think another year is in the cards for me, but leaving is tearing me apart.

[CPI2013]

These guys are pro's on sticking it to you. Look at what they did in the US no Warn act, No severance and No paid accumulated vacation etc.