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10QSB: HUGO INTERNATIONAL TELECOM INC
PrintE-mailDisable live quotesRSSDigg itDel.icio.usLast Update: 5:10 PM ET May 23, 2006
(EDGAR Online via COMTEX) -- ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS AND PLAN OF OPERATION
Forward Looking Statements
In addition to historical information, this Quarterly Report contains forward-looking statements, which are generally identifiable by use of the words "believes," "expects," "intends," "anticipates," "plans to," "estimates," "projects," or similar expressions. These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those reflected in these forward-looking statements. Factors that might cause such a difference include, but are not limited to, those discussed in the section entitled "Business Risk Factors." Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect management's opinions only as of the date hereof. We undertake no obligation to revise or publicly release the results of any revision to these forward-looking statements.
OVERVIEW
Hugo International Telecom, Inc. was a holding company. It no longer has any operating subsidiaries. In the past its operating subsidiaries, Hugo International Limited, and Hugo International Ltd. supplied cellular telephone, radio and wireless data communications solutions to business customers primarily in the British Isles who sought to improve their customer service levels and control their communications costs. Both of these operating subsidiaries are no longer in operation. Hugo Ireland was closed in 2002 and Hugo International limited was wound down in 2003. The Company lost significant capabilities of influencing the day to day operations from the administrator in October of 2001.
The Company incorporated in the State of Delaware on February 17, 2000 and acquired our now defunct Hugo International Limited operating subsidiary on February 24, 2000 and our defunct Hugo Ireland operating subsidiary on July 1, 2001.
BUSINESS RISK FACTORS
There are many important factors that have affected, and in the future could affect, Hugo International Telecom's business, including but not limited to the factors discussed below, which should be reviewed carefully together with other information contained in this report. Some of the factors are beyond our control and future trends are difficult to predict.
The Company is not a going concern.
The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern. The Company, however, is a shell company without any operations. As of March 31, 2006, the Company did not have any cash, and current liabilities exceeded current assets by $393,415. These matters raise substantial doubt about the Company's ability to continue as a going concern.
The bankruptcy proceeding of our Hugo International Telecom, Ltd., subsidiary exposes us to risks and uncertainties.
The wholly owned subsidiary, Hugo International Telecom, Ltd. (`Limited') was placed into administrative status of the UK bankruptcy code as of October, 2001. Limited was restated as a discontinued operation through the date of the bankruptcy filing for financial statement purposes and was deconsolidated as of the bankruptcy date for financial statement purposes. If Limited fails to honor certain of its contractual obligations because of the bankruptcy filing or otherwise, claims may be made against us for breaches by Limited of those contracts as to which we are primarily or secondarily liable as a guarantor. In addition, Limited bankruptcy might bring certain claims against us or seek to hold us liable for certain transfers made by Limited to us and/or for Limited's obligations to creditors under various equitable theories recognized under bankruptcy law. As of May 22, 2006, there have been no claims filed against the Company or any of its current or former officers or directors, and we do not expect any material claims to be filed. However, the outcome of complex litigation (including claims which may be asserted against us) cannot be predicted with certainty and its dependent upon many factors beyond our control; however, any such claims, if successful, could have a material adverse impact on our financial condition. Finally, we may incur additional costs in connection with out involvement in the Limited bankruptcy proceedings.
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS AND PLAN OF OPERATION
BUSINESS RISK FACTORS (CONTINUED)
The Company is not likely to hold annual shareholder meetings in the next few years.
Delaware corporation law provides that members of the board of directors retain authority to act until they are removed or replaced at a meeting of the shareholders. A shareholder may petition the Delaware Court of Chancery to direct that a shareholders meeting be held. But absent such a legal action, the board has no obligation to call a shareholders meeting. Unless a shareholders meeting is held, the existing directors elect directors to fill any vacancy that occurs on the board of directors. The shareholders, therefore, have no control over the constitution of the board of directors, unless a shareholders meeting is held. Management does not expect to hold annual meetings of shareholders in the next few years, due to the expense involved. Kevin Kreisler is currently the sole director of the Company and was appointed to that position by the previous directors. If other directors are added to the Board in the future, it is likely that Mr. Kreisler will appoint them. As a result, the shareholders of the Company will have no effective means of exercising control over the operations of the Company.
Some of our existing stockholders can exert control over us and may not make decisions that further the best interests of all stockholders.
Our officers, directors and principal stockholders (greater that 5% stockholders) together control approximately 67% of our voting stock. As a result, these stockholders, if they act individually or together, may exert a significant degree of influence over our management and affairs and over matters requiring stockholder approval, including the election of directors and approval of significant corporate transactions. In addition, this concentration of ownership may delay or prevent a change in control of us and might affect the market price of our common stock, even when a change in control may be in the best interest of all stockholders. Furthermore, the interests of this concentration of ownership may not always coincide with our interests or the interests of other stockholders and accordingly, they could cause us to enter into transactions or agreements which we would not otherwise consider.
Investing in our stock is highly speculative and you could lose some or all of your investment.
The value of our common stock may decline and may be affected by numerous market conditions, which could result in the loss of some or the entire amount invested in our stock. The securities markets frequently experience extreme price and volume fluctuations that affect market prices for securities of companies generally and very small capitalization companies such as us in particular.
Our common stock qualifies as a "penny stock" under SEC rules which may make it more difficult for our stockholders to resell their shares of our common stock.
The holders of our common stock may find it more difficult to obtain accurate quotations concerning the market value of the stock. Stockholders also may experience greater difficulties in attempting to sell the stock than if it were listed on a stock exchange or quoted on the NASDAQ National Market or the NASDAQ Small-Cap Market. Because our common stock does not trade on a stock exchange or on the NASDAQ National Market or the NASDAQ Small-Cap Market, and the market price of the common stock is less than $5.00 per share, the common stock qualifies as a "penny stock." SEC Rule 15g-9 under the Securities Exchange Act of 1934 imposes additional sales practice requirements on broker-dealers that recommend the purchase or sale of penny stocks to persons other than those who qualify as an "established customer" or an "accredited investor." This includes the requirement that a broker-dealer must make a determination on the appropriateness of investments in penny stocks for the customer and must make special disclosures to the customer concerning the risks of penny stocks. Application of the penny stock rules to our common stock affects the market liquidity of the shares, which in turn may affect the ability of holders of our common stock to resell the stock.
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS AND PLAN OF OPERATION
BUSINESS RISK FACTORS (CONTINUED)
Only a small portion of the investment community will purchase "penny stocks" such as our common stock.
Our common stock is defined by the SEC as a "penny stock" because it trades at a price less than $5.00 per share. Our common stock also meets most common definitions of a "penny stock," since it trades for less than $1.00 per share. Many brokerage firms will discourage their customers from purchasing penny stocks, and even more brokerage firms will not recommend a penny stock to their customers. Most institutional investors will not invest in penny stocks. In addition, many individual investors will not consider a purchase of a penny stock due, among other things, to the negative reputation that attends the penny stock market. As a result of this widespread disdain for penny stocks, there will be a limited market for our common stock as long as it remains a "penny stock." This situation may limit the liquidity of your shares.
[------------------------------------------------------------------------------
CRITICAL ACCOUNTING POLICIES AND ESTIMATES
The preparation of our consolidated financial statements requires us to make estimates that affect the reported amounts of assets, liabilities, revenues and expenses. The following are the areas that we believe require the greatest amount of estimates in the preparation of our financial statements.
As described more fully in Note 2 to the financial statements, Contingencies, above, we are subject to legal proceedings, which we have assumed in our consolidation process. Accruals are established for legal matters when, in our opinion, it is probable that a liabilities exists and the liability can be reasonably estimated. Estimates of the costs associated with dispute settlement are adjusted as facts emerge. Actual expenses incurred in future periods can differ materially from accruals established.
RESULTS OF OPERATIONS
The company is currently a shell with no operations. Expenses incurred are primarily related to professional fees to prepare the company for a strategic transaction.
LIQUIDITY AND CAPITAL RESOURCES
The company had no cash balance as of March 31, 2006. There remains approximately $144,579 of accounts payable and $300 of accrued expenses unsettled as of March 31, 2006.
The company has incurred continued operating losses, has negative working capital and liabilities exceed assets as of March 31, 2006. These conditions are expected to continue unless new operating subsidiaries are acquired.
May 23, 2006
(c) 1995-2006 Cybernet Data Systems, Inc. All Rights Reserved
7:51AM 7/14/2006U.S. stock market futures up after in-line GE results
7:49AM 7/14/2006Petco agrees to $29 a share buyout valued at $1.8 bln
7:39AM 7/14/2006Crude at record high above $78 as Mideast tensions mount
7:07AM 7/14/2006General Electric posts in-line profit rise of 4%
7:00AM 7/14/2006Rosneft raises $10.4 billion in world's fifth-largest IPO
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10QSB: HUGO INTERNATIONAL TELECOM INC
PrintE-mailDisable live quotesRSSDigg itDel.icio.usLast Update: 5:10 PM ET May 23, 2006
(EDGAR Online via COMTEX) -- ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS AND PLAN OF OPERATION
Forward Looking Statements
In addition to historical information, this Quarterly Report contains forward-looking statements, which are generally identifiable by use of the words "believes," "expects," "intends," "anticipates," "plans to," "estimates," "projects," or similar expressions. These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those reflected in these forward-looking statements. Factors that might cause such a difference include, but are not limited to, those discussed in the section entitled "Business Risk Factors." Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect management's opinions only as of the date hereof. We undertake no obligation to revise or publicly release the results of any revision to these forward-looking statements.
OVERVIEW
Hugo International Telecom, Inc. was a holding company. It no longer has any operating subsidiaries. In the past its operating subsidiaries, Hugo International Limited, and Hugo International Ltd. supplied cellular telephone, radio and wireless data communications solutions to business customers primarily in the British Isles who sought to improve their customer service levels and control their communications costs. Both of these operating subsidiaries are no longer in operation. Hugo Ireland was closed in 2002 and Hugo International limited was wound down in 2003. The Company lost significant capabilities of influencing the day to day operations from the administrator in October of 2001.
The Company incorporated in the State of Delaware on February 17, 2000 and acquired our now defunct Hugo International Limited operating subsidiary on February 24, 2000 and our defunct Hugo Ireland operating subsidiary on July 1, 2001.
BUSINESS RISK FACTORS
There are many important factors that have affected, and in the future could affect, Hugo International Telecom's business, including but not limited to the factors discussed below, which should be reviewed carefully together with other information contained in this report. Some of the factors are beyond our control and future trends are difficult to predict.
The Company is not a going concern.
The accompanying consolidated financial statements have been prepared assuming that the Company will continue as a going concern. The Company, however, is a shell company without any operations. As of March 31, 2006, the Company did not have any cash, and current liabilities exceeded current assets by $393,415. These matters raise substantial doubt about the Company's ability to continue as a going concern.
The bankruptcy proceeding of our Hugo International Telecom, Ltd., subsidiary exposes us to risks and uncertainties.
The wholly owned subsidiary, Hugo International Telecom, Ltd. (`Limited') was placed into administrative status of the UK bankruptcy code as of October, 2001. Limited was restated as a discontinued operation through the date of the bankruptcy filing for financial statement purposes and was deconsolidated as of the bankruptcy date for financial statement purposes. If Limited fails to honor certain of its contractual obligations because of the bankruptcy filing or otherwise, claims may be made against us for breaches by Limited of those contracts as to which we are primarily or secondarily liable as a guarantor. In addition, Limited bankruptcy might bring certain claims against us or seek to hold us liable for certain transfers made by Limited to us and/or for Limited's obligations to creditors under various equitable theories recognized under bankruptcy law. As of May 22, 2006, there have been no claims filed against the Company or any of its current or former officers or directors, and we do not expect any material claims to be filed. However, the outcome of complex litigation (including claims which may be asserted against us) cannot be predicted with certainty and its dependent upon many factors beyond our control; however, any such claims, if successful, could have a material adverse impact on our financial condition. Finally, we may incur additional costs in connection with out involvement in the Limited bankruptcy proceedings.
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS AND PLAN OF OPERATION
BUSINESS RISK FACTORS (CONTINUED)
The Company is not likely to hold annual shareholder meetings in the next few years.
Delaware corporation law provides that members of the board of directors retain authority to act until they are removed or replaced at a meeting of the shareholders. A shareholder may petition the Delaware Court of Chancery to direct that a shareholders meeting be held. But absent such a legal action, the board has no obligation to call a shareholders meeting. Unless a shareholders meeting is held, the existing directors elect directors to fill any vacancy that occurs on the board of directors. The shareholders, therefore, have no control over the constitution of the board of directors, unless a shareholders meeting is held. Management does not expect to hold annual meetings of shareholders in the next few years, due to the expense involved. Kevin Kreisler is currently the sole director of the Company and was appointed to that position by the previous directors. If other directors are added to the Board in the future, it is likely that Mr. Kreisler will appoint them. As a result, the shareholders of the Company will have no effective means of exercising control over the operations of the Company.
Some of our existing stockholders can exert control over us and may not make decisions that further the best interests of all stockholders.
Our officers, directors and principal stockholders (greater that 5% stockholders) together control approximately 67% of our voting stock. As a result, these stockholders, if they act individually or together, may exert a significant degree of influence over our management and affairs and over matters requiring stockholder approval, including the election of directors and approval of significant corporate transactions. In addition, this concentration of ownership may delay or prevent a change in control of us and might affect the market price of our common stock, even when a change in control may be in the best interest of all stockholders. Furthermore, the interests of this concentration of ownership may not always coincide with our interests or the interests of other stockholders and accordingly, they could cause us to enter into transactions or agreements which we would not otherwise consider.
Investing in our stock is highly speculative and you could lose some or all of your investment.
The value of our common stock may decline and may be affected by numerous market conditions, which could result in the loss of some or the entire amount invested in our stock. The securities markets frequently experience extreme price and volume fluctuations that affect market prices for securities of companies generally and very small capitalization companies such as us in particular.
Our common stock qualifies as a "penny stock" under SEC rules which may make it more difficult for our stockholders to resell their shares of our common stock.
The holders of our common stock may find it more difficult to obtain accurate quotations concerning the market value of the stock. Stockholders also may experience greater difficulties in attempting to sell the stock than if it were listed on a stock exchange or quoted on the NASDAQ National Market or the NASDAQ Small-Cap Market. Because our common stock does not trade on a stock exchange or on the NASDAQ National Market or the NASDAQ Small-Cap Market, and the market price of the common stock is less than $5.00 per share, the common stock qualifies as a "penny stock." SEC Rule 15g-9 under the Securities Exchange Act of 1934 imposes additional sales practice requirements on broker-dealers that recommend the purchase or sale of penny stocks to persons other than those who qualify as an "established customer" or an "accredited investor." This includes the requirement that a broker-dealer must make a determination on the appropriateness of investments in penny stocks for the customer and must make special disclosures to the customer concerning the risks of penny stocks. Application of the penny stock rules to our common stock affects the market liquidity of the shares, which in turn may affect the ability of holders of our common stock to resell the stock.
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS AND PLAN OF OPERATION
BUSINESS RISK FACTORS (CONTINUED)
Only a small portion of the investment community will purchase "penny stocks" such as our common stock.
Our common stock is defined by the SEC as a "penny stock" because it trades at a price less than $5.00 per share. Our common stock also meets most common definitions of a "penny stock," since it trades for less than $1.00 per share. Many brokerage firms will discourage their customers from purchasing penny stocks, and even more brokerage firms will not recommend a penny stock to their customers. Most institutional investors will not invest in penny stocks. In addition, many individual investors will not consider a purchase of a penny stock due, among other things, to the negative reputation that attends the penny stock market. As a result of this widespread disdain for penny stocks, there will be a limited market for our common stock as long as it remains a "penny stock." This situation may limit the liquidity of your shares.
[------------------------------------------------------------------------------
CRITICAL ACCOUNTING POLICIES AND ESTIMATES
The preparation of our consolidated financial statements requires us to make estimates that affect the reported amounts of assets, liabilities, revenues and expenses. The following are the areas that we believe require the greatest amount of estimates in the preparation of our financial statements.
As described more fully in Note 2 to the financial statements, Contingencies, above, we are subject to legal proceedings, which we have assumed in our consolidation process. Accruals are established for legal matters when, in our opinion, it is probable that a liabilities exists and the liability can be reasonably estimated. Estimates of the costs associated with dispute settlement are adjusted as facts emerge. Actual expenses incurred in future periods can differ materially from accruals established.
RESULTS OF OPERATIONS
The company is currently a shell with no operations. Expenses incurred are primarily related to professional fees to prepare the company for a strategic transaction.
LIQUIDITY AND CAPITAL RESOURCES
The company had no cash balance as of March 31, 2006. There remains approximately $144,579 of accounts payable and $300 of accrued expenses unsettled as of March 31, 2006.
The company has incurred continued operating losses, has negative working capital and liabilities exceed assets as of March 31, 2006. These conditions are expected to continue unless new operating subsidiaries are acquired.
May 23, 2006
(c) 1995-2006 Cybernet Data Systems, Inc. All Rights Reserved
7:51AM 7/14/2006U.S. stock market futures up after in-line GE results
7:49AM 7/14/2006Petco agrees to $29 a share buyout valued at $1.8 bln
7:39AM 7/14/2006Crude at record high above $78 as Mideast tensions mount
7:07AM 7/14/2006General Electric posts in-line profit rise of 4%
7:00AM 7/14/2006Rosneft raises $10.4 billion in world's fifth-largest IPO
More newsE-mail | Print | Digg it | Del.icio.us | My Yahoo! | RSSSPONSORED LINKS
oops here is the correct artical VERIDIUM CORPORATION (OTCBB: VRDM) "Up 67.65% on Tuesday"
Detailed Quote: http://www.otcpicks.com/quotes/VRDM.php
Veridium Corporation (OTCBB: VRDM) is a publicly traded industrial waste recycling company and holds the rights to more than a dozen proprietary universal processing, water purification, emissions control and waste recycling technologies.
Veridium's business model is based on the engineering and marketing of green innovations and processes that enhance manufacturing efficiencies, improve resource utilization and minimize waste. Veridium's mission is to deliver consumer oriented Natural Solutions(TM) based on an array of green technologies and applied engineering expertise that reduce waste at the source and make it easier for people and businesses to recycle and reuse resources. Veridium plans to focus on the continued acquisition, development and marketing of benchmark green technologies and products that accomplish the following key goals:
-- Reduce the volume of waste generated by residential and commercial consumers;
-- Increase the convenience and decrease the cost of recycling by residential and commercial consumers; and,
-- Increase the cost-efficiency of processing certain types of industrial wastes.
Veridium is about 65% owned by GreenShift Corporation (OTCBB: GSHF), a publicly traded business development company (BDC) whose mission is to develop and support companies and technologies that facilitate the efficient use of natural resources and catalyze transformational environmental gains.
gshf owns 80% of vrdm ? Read below
INSEQ Corporation (OTCBB:INSQ), is a company that our research team will be tracking over the ensuing weeks. They recently came out with a significant corporate development, causing a market stir. The BWR Research Team will continue to bring its subscribers cutting edge research tools, and second to none customer service.
INSEQ Corporation, a publicly traded company whose mission is to directly facilitate the efficient utilization of natural resources including metals, chemicals, fuels and plastics, announced a couple of weeks ago that it is receiving orders from NextGen Fuel, Inc., for the manufacture of NextGen's proprietary biodiesel processing equipment.
The NextGen Fuel process is the leading modular, skid-based biodiesel process available in the rapidly growing global biofuel market. The NextGen process reduces plant capital costs by as much as 50% as compared to traditional approaches and offers significant operating benefits. The process can also be shop-tested with customer-specific feedstocks before it ever leaves the INSEQ plant floor and can be shipped to customers in as little 14 weeks. This allows NextGen and INSEQ to significantly reduce customer risk while speeding their client's time to market. As a result, INSEQ is securing orders to fabricate and ship NextGen process equipment for domestic and international customers.
This process equipment order for biodiesel technology follows the ethanol by-product recovery equipment orders INSEQ has received from Veridium Corporation.
INSEQ Corporation is suffering from a slumping day of trading as investors bail out of this company, feeling that does not have any other news which would justify a change in sharevalue. This company is a great trading opportunity as they continue to grow and experience decent sales and with success from Veridium Corporation, I feel we could see a big jump in future sales. Currently trading up to $0.004, down over 11% this company has traded over 10 million shares as investors shuffle around even though there has been no knew corporate developments as of late. The BWR Research Team will continue to follow the market sentiment on this company and numerous others.
Is some one talking about me LOL
Read third paragraph interesting,
GS Energy, which is currently known as INSEQ Corporation (OTC Bulletin Board: INSQ - News), is an 80%-owned publicly-traded subsidiary of GreenShift. When the pending transfers of GreenShift's clean energy holdings to INSEQ closes at the end of this quarter, INSEQ will change its name to GS Energy Corporation and will focus on the production and sales of energy from distributed clean power generation facilities including solar, wind, wave and hydro power facilities, as well as sales of renewable energy and conservation credits.
GS Energy's divisions will include Sterling Planet, Inc., the nation's leading retail provider of solar, wind and other clean, renewable energy, TerraPass, Inc., an innovative clean energy sales company that focuses on offsetting the carbon dioxide output of personal vehicles, and pre-revenue distributed solar, wind, hydro and wave project development companies.
GS Energy's immediate term plans are to invest aggressively in the growth of Sterling Planet's sales and to develop distributed clean energy projects, the first of which is planned to be a solar power project in the North Eastern U.S. We expect that GS Energy will secure an equity commitment of $8 million in the near term to support these efforts.
This company also operates a manufacturing division, Warnecke Design, that GS Energy plans to rely on to provide infrastructure support services as it builds out its targeted clean energy production projects. Warnecke Design currently generates about $5 million in sales per year that we hope to increase by more than $10 million per year as Warnecke manufactures and sells clean fuel processing equipment.
I Guess we will be payed for the equipment sooner than you may think!!!
GreenShift Corporation (OTCBB: GSHF) today announced the execution of agreements by GreenShift's new AgriFuels division, GS AgriFuels, for a $22 million investment by Cornell Capital Partners.
GreenShift Announces $22 Million Commitment by Cornell Capital Partners for New AgriFuels Division; Company To Build 45 Million Gallon Per Year Biodiesel Production Facility
Business Wire via COMTEX
Jun 8, 2006 10:08:01 AM
NEW YORK, Jun 08, 2006 (BUSINESS WIRE) --
GreenShift Corporation (OTCBB: GSHF) today announced the execution of agreements by GreenShift's new AgriFuels division, GS AgriFuels, for a $22 million investment by Cornell Capital Partners.
GS AgriFuels will use the investment to build a 45 million gallon per year biodiesel production facility and to provide working capital for the facility's initial operations.
"Cornell Capital is a great supporter of biofuels and renewable energy in general," said Kevin Kreisler, Chairman and Chief Executive Officer of GreenShift. "Cornell Capital's serious approach to supporting companies on the cutting edge of biofuels production reflects its overall vision and commitment to the clean energy sector," said Kreisler.
"Both innovative and sustainable, we see the GS AgriFuels business model as one that will thrive in the biofuels marketplace," said Troy Rillo, Managing Director of Cornell Capital. "We are proud to be a part of GS AgriFuels' development and look forward to being a part of its future."
This investment follows the closing yesterday of the sale by GreenShift of its wholly-owned subsidiary, Mean Green BioFuels, Inc., to another GreenShift subsidiary, Hugo International Telecom, Inc. (OTC Bulletin Board: HGOT) Hugo is an 80% owned subsidiary of GreenShift that has been inactive to date. Hugo will be re-named "GS AgriFuels Corporation" early next quarter in connection with these transactions.
Under the investment agreements, Cornell Capital will purchase 5% debentures in GS AgriFuels (Hugo) totaling $22 million that are convertible into GS AgriFuels (Hugo) common stock at a price of $3.00 per share. Cornell Capital provided an initial $5,500,000 of this amount at the closing, and will provide the balance of the investment in a series of tranches tied to GS AgriFuels' satisfaction of key benchmarks in its development schedule.
About GS AgriFuels Corporation
GS AgriFuels intends to finance, build and operate several biodiesel production facilities in the U.S. The feedstock for these facilities will include corn oil derived from ethanol facilities, soybean oil, and animal fats. The first planned biodiesel production facility will produce 45 million gallons per year and will be expandable to accommodate growth. Each GS AgriFuels biodiesel facility is expected to utilize traditional esterification and transesterification methods as well as proprietary processes.
GS AgriFuels is party to a strategic alliance with GreenShift's clean technology subsidiary, Veridium Corporation (OTC Bulletin Board: VRDM) pursuant to which GS AgriFuels has the right of first refusal to purchase Veridium's various biodiesel feedstocks, including the high grade corn oil that Veridium extracts from an ethanol by-product called distillers dried grain ("DDG") with Veridium's patent-pending Corn Oil Extraction System(TM).
Veridium's is developing a captive supply of DDG by providing its turn-key systems to ethanol facilities for no up-front cost in exchange for long-term corn oil purchase agreements that will afford Veridium a fixed discount to prevailing corn oil market prices. Veridium intends to purchase and sell its extracted corn oil as a high grade corn oil product until GS AgriFuels' first biodiesel production facility commences operations, at which point GS AgriFuels will purchase the corn oil from Veridium based on a fixed discount to prevailing fuel prices.
Veridium's patent-pending Corn Oil Extraction System(TM) can remove up to 75% of the corn oil from an ethanol processing by-product called distillers dried grain ("DDG") in two stages.
The first stage extracts 1.2 to 1.5 million gallons per year and corresponds to about 30% of the corn oil in the DDG for a 50 million gallon per year facility. The second stage of this technology recovers another 30% to 45% of the corn oil in the DDG, corresponding to another 1.2 to 2.2 million gallons of corn oil per year out of a 50 million gallon per year ethanol facility.
Veridium's pricing model for these systems is based on the provision of its turn-key systems for no up-front cost in return for long-term corn oil purchase agreements based on a fixed discount to prevailing market prices. Each first stage system can be expected to generate in excess of $1.4 million in annualized revenues, and each second stage system can be expected to generate in excess of $1.6 million in additional annualized revenues.
Veridium has executed letters of intent for a total of 11 first stage systems and 7 second stage systems. The next steps for each of these systems is to execute final agreements for the systems and to deploy the systems at the client facilities. In addition, Veridium is currently working on going directly to contract on another 3 first stage systems and 3 second stage systems.
Veridium has granted exclusive right of first refusal manufacturing rights to INSEQ Corporation for the manufacturing of Veridium's patent-pending Corn Oil Extraction Systems.
INSQ wants to go up this morning if only we could get the volume it would take off!!!
Steve Gelsi, MarketWatch
Last Update: 11:17 AM ET May 31, 2006
NEW YORK (MarketWatch) -- Hawkeye Holdings has filed to raise up to $350 million in an initial public offering as ethanol emerges as a summer trend in the IPO market in the face of lofty gasoline prices.
Hawkeye Holdings marks the third ethanol deal to emerge in recent weeks after VeraSun fattened its IPO to $328 million from $150 million, and Aventine Renewable Energy filed its IPO.
The move in the IPO market corresponds with efforts in Washington, where new legislation is being proposed to boost the number of service stations selling gas with ethanol blended in.
All three deals have ties to big names on Wall Street as institutions line up to fuel the growth of ethanol with an eye on future profits.
Thomas H. Lee Partners took an 80% stake on May 11 in Hawkeye Holdings in a deal that valued the ethanol maker at about $1 billion.
Metalmark, a private-equity firm established by former principals of Morgan Stanley Capital Partners (MS : morgan stanley com new
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MS59.62, +0.51, +0.9%) , owns about 40% of Aventine.
VeraSun's shareholders include Eos Partners L.P., Bluestem Funds and Donald Endres, 45, chief executive officer and director of the company.
Hawkeye widens first-quarter profit
Hawkeye, which ranks as the third largest ethanol producer in the U.S. based on production capacity, said first-quarter net income rose to $6.8 million on revenue of $27.7 million, from net income of $1.4 million and revenue of $18 million in the year-ago period.
The Iowa Falls, Iowa company plans to trade on the New York Stock Exchange.
Hawkeye buys corn and converts it into ethanol, a type of grain alcohol. The company plans to break ground on a third plant in 2006 and a fourth in 2007.
Steve Gelsi is a reporter for MarketWatch in New York.
May 30, 2006 11:09:46 AM
May 30, 2006 (M2 PRESSWIRE via COMTEX News Network) --
INSEQ Corporation (OTCBB:INSQ), is a company that our research team will be tracking over the ensuing weeks. They recently came out with a significant corporate development, causing a market stir. The BWR Research Team will continue to bring its subscribers cutting edge research tools, and second to none customer service.
INSEQ Corporation, a publicly traded company whose mission is to directly facilitate the efficient utilization of natural resources including metals, chemicals, fuels and plastics, recently announced that it is receiving orders from NextGen Fuel, Inc., for the manufacture of NextGen's proprietary biodiesel processing equipment.
The NextGen Fuel process is the leading modular, skid-based biodiesel process available in the rapidly growing global biofuel market. The NextGen process reduces plant capital costs by as much as 50% as compared to traditional approaches and offers significant operating benefits. The process can also be shop-tested with customer-specific feedstocks before it ever leaves the INSEQ plant floor and can be shipped to customers in as little 14 weeks. This allows NextGen and INSEQ to significantly reduce customer risk while speeding their client's time to market. As a result, INSEQ is securing orders to fabricate and ship NextGen process equipment for domestic and international customers.
This process equipment order for biodiesel technology follows the ethanol by-product recovery equipment orders INSEQ has received from Veridium Corporation.
INSEQ Corporation enjoyed a very exciting day of trading following this announcement as investors dive into this company, feeling that it holds a lot of value.. This company is a great trading opportunity as they continue to grow and experience decent sales and with success from Veridium Corporation, I feel we could see a big increase in sales. Currently trading downto $0.004, down over 4% this company has traded over 8 million shares as the ball begins to roll leading to an exciting year. The BWR Research Team will continue to follow the market sentiment on this company and numerous others.
To review research on small cap companies INSEQ Corporation, as well as many more exciting articles we encourage you to visit www.bellwetherreport.com. You can find these reports under the "Today's Articles" section. No credit Card Needed!!
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When is VRDM going to go on the Big Board or was that still a rumor.
May 18, 2006 9:34:53 AM
May 18, 2006 (M2 PRESSWIRE via COMTEX News Network) --
BUYINS.NET, www.buyins.net, announced today that these select companies have been removed from the NASDAQ, AMEX and NYSE naked short threshold list: Omega Navigation Enterprises, Inc. (NASDAQ: ONAV), VitaCube Systems Holdings, Inc. (AMEX: PRH), Veridium Corporation (OTCBB: VRDM), Industrial Enterprises of America, Inc. (OTCBB: ILNP), InterAge Ltd. (OTC: ITRJ), Mercator Partners Acquisition Corp. (OTCBB: MPAQ). For a complete list of companies on the naked short list please visit our web site. To find the SqueezeTrigger Price before a short squeeze starts in any stock, go to www.buyins.net.
Yes it is but far from its 12 month high
The reason why Gshf is not moving up at present is because they have just invested heavely in INSQ and that has also slowed VRDM because of it I would say in a month or two all trhee will be much higher because of it.
Am I correct to say that we have reduced the amount of out standing shares from Shares Out: 4.95B to 1.2,000,000 billon
The Series D Preferred shares may be converted by the holder into common stock. The conversion ratio is such that the full 1,000,000 shares will convert into common shares representing 80% of the Inseq common shares outstanding after the conversion.
By the time hydrogen cars hit the road ill be dead I think ill stick to ethanol because its an easy answer for Big oil to mix it with their gas.
The Key Word is about read it again ,Combined, these businesses generated about $750,000 in EBITDA on $7.5 million in sales in 2005.
Old News but still relavent
Its Located in Southern NH
Come back and tell us Ethanol is not woth it when you end up paying $4 dollars a gallon for gas from now on.
When Is E-85 going to make it to the North east 10 years from now ?
I live in the North East and I heard that there is a private party that bouth out the old Budwiser Plant out to produce Ethanol from Wood chips.
Screw BIG OIL Drive 55!
Never happen Big Oil companys support Ethanol because they can streach the amount of oil they sell to you at the same or higher price per gallon.
Run for the Hills , Jump the Boat, and head for the Door, opps the door is locked
The following was contained in either an INSQ filing or press release:
On the issue of INSEQ's capital structure, while we made positive
strides during the third quarter 2005 with the elimination of about
650 million shares of common stock and warrants, our growth plans
require us to seek out new opportunities to achieve similar results.
We have accordingly cancelled certain financing agreements and we
continue to expect that we will restructure GreenShift's stake in
INSEQ in line with the completion of INSEQ's refinancing of its equity
based convertible debentures. The conversion of GreenShift's stake can
be expected to decrease INSEQ's common stock outstanding by about 3
billion shares.
I am hopeful that these changes will collectively help to enhance the
impact of our completed and targeted new acquisitions and other growth
initiatives on our overall shareholder wealth. We will however
continue to aggressively seek opportunities to positively impact our
capital structure and we hope to evaluate appropriate share repurchase
programs once our operations are generating sufficient positive cash
flows.
We are pleased with INSEQ's progress and we are very enthusiastic
about our prospects for growth. We are grateful for your continued
support and involvement. I look forward to our next communication.
Best Regards,
Kevin Kreisler
Chairman
INSEQ Corporation
About INSEQ Corporation
INSEQ Corporation is a publicly traded company whose mission is to directly facilitate the efficient utilization of natural resources including metals, chemicals, fuels and plastics. More information on INSEQ is available online at www.inseq.com.
It looks to me like CBS Market Watch is telling every one out there that INSQ has only Shares Out: 367.24M
First I heard of that to
Ford, which expects to produce about 250,000 E85 vehicles for 2006, recently partnered with VeraSun Energy Corporation, the nation's No. 2 ethanol producer, to increase the number of E85 fuel stations and boost public awareness of ethanol. Ford also unveiled a concept version of the Ford Escape Hybrid that can run on E85. Although there are challenges with bringing an E85 hybrid to production, this prototype vehicle represents one way to reduce oil consumption even further.
Verasun On front page of AOL, Read artical.
MainNewUsedResearchReviewsTipsFinanceInsuranceOwnershipVideoHow Hybrids Work - Make A Pledge
Green Driving: Fueling Up With Ethanol
By Edmunds.com Editors
America is addicted to oil -- at least that's what our president said in his recent State of the Union address. With the U.S. ranked as the top consumer of oil worldwide, consuming more than 300 times the second largest oil-consuming country (China), calling it an addiction isn't an exaggeration. During his speech, the president called for the U.S. to reduce its oil imports from the Middle East 75 percent by the year 2025. The commander in chief's so-called Advanced Energy Initiative calls for, among other efforts, increasing ethanol production and putting more flexible fuel vehicles -- which can run on either gasoline or ethanol -- on the market.
Ethanol, a renewable fuel produced from corn and other crops, is already in over 15 percent of the gasoline sold in the United States. Most often it is blended with gasoline to produce a fuel that is 5-10-percent ethanol. A small percentage of the 4 million gallons of ethanol currently produced is E85, a blend of 85-percent ethanol and 15-percent gasoline. E85 is the highest ethanol blend that can be run in U.S. market flexible fuel vehicles, also known as E85 vehicles.
Although Henry Ford planned to fuel his early cars with ethanol, we didn't see the first flex fuel vehicles until the mid-1990s. Today, there are over 5 million flexible fuel vehicles that can run on either E85 or gasoline. That number will grow dramatically very soon, thanks to a big push by General Motors and other automakers.
... continued below
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Flexible fuel vehicles grow
Flexible fuel vehicle sales began after Congress passed the Alternative Motor Fuels Act of 1988, which offered automakers credits toward the Corporate Average Fuel Economy (CAFE) standards that all automakers are required to meet. Adding E85 vehicles to an automaker's vehicle lineup helped balance out larger, less fuel-efficient vehicles, so the average fuel economy for the vehicle fleet could be kept within federal standards. Unfortunately, while these vehicles could be powered by E85, customers usually fueled up with gasoline, chiefly because E85 was not readily available.
"While the [Alternative Motor Fuels] Act provided an incentive for automakers to build the cars, it did not address the development of an infrastructure for the fuel," explains Phil Lampert, executive director of the National Ethanol Vehicle Coalition. It wasn't until the 2005 Renewable Fuels Standard that an incentive was placed on ethanol itself, allowing the well-established, but heretofore stagnant, ethanol production industry to grow by leaps and bounds.
Today, there are about 600 E85 fuel stations where the 5 million flex fuel vehicles sold over the past decade can fill up. While this is a small number compared to the approximately 170,000 gasoline stations in the U.S., it's a huge step forward. By contrast, in 2000 there were only about a dozen E85 stations.
· Blog about it: See what others are saying about E85 at Autoblog Green.
The future of E85 looks even brighter. The 2005 Act mandated that ethanol production double by 2012 to 7.5 billion gallons, which is estimated to reduce the U.S.'s oil consumption by 80,000 barrels per day. However, considering that our average daily oil consumption in 2004 was 20,731,000 barrels a day, of which 9.1 million barrels were refined into gasoline, it's clear that ethanol is but a part of a larger solution. Lampert says plans are underway to add 2,000 more E85 fuel stations within the next year.
Along with this infrastructure comes even more flexible fuel vehicles. Automakers will produce about 700,000 E85 vehicles in 20 different makes and models for the 2006 model year. While some of those vehicles will be sold only to fleet buyers, 13 of the 20 will be available to the individuals. General Motors, which began selling E85-capable vehicles in 1999, is leading the effort to make flexible fuel vehicles available to the public with its "Live Green. Go Yellow" campaign and a commitment to manufacture 400,000 vehicles for 2006. That commitment is nearly double the number of flex fuel vehicles the company sold in 2005.
Automakers get on board
While General Motors believes that the ultimate solution to reducing the U.S.'s dependence on oil is hydrogen-powered fuel-cell vehicles, it sees ethanol and hybrids as viable ways to reduce oil consumption right now. "E85 provides us with a tremendous opportunity to save gasoline because ethanol is renewable, domestically produced and produces fewer greenhouse gas emissions," said Elizabeth Lowery, GM vice president of environment and energy.
GM's campaign to increase ethanol use goes well beyond simply producing flex fuel vehicles. The company has numerous TV, print and radio spots promoting "Live Green. Go Yellow," including an ad that aired during Super Bowl XL. Other efforts include the creation of a Live Green, Go Yellow Web site, the use of distinctive yellow gas caps on E85 vehicles, and partnerships with several ethanol producers to increase the number of E85 fuel stations. "We recognize it's more than just putting the vehicles out there," said GM spokesman Dave Barthmuss. "That's why we are helping to get people to work together to fuel the vehicles."
Other automakers -- including Chrysler, Ford, Mercedes-Benz and Nissan -- have also made commitments to flexible fuel vehicles and the ethanol infrastructure. The Chrysler Group, which sold its first E85 vehicles in 1998, will produce about 25,000 flex fuel vehicles this year for fleet sales only. By the 2008 model year, the company has committed to building about 500,000 flex fuel vehicles, about 25 percent of all the vehicles it produces annually.
Ford, which expects to produce about 250,000 E85 vehicles for 2006, recently partnered with VeraSun Energy Corporation, the nation's No. 2 ethanol producer, to increase the number of E85 fuel stations and boost public awareness of ethanol. Ford also unveiled a concept version of the Ford Escape Hybrid that can run on E85. Although there are challenges with bringing an E85 hybrid to production, this prototype vehicle represents one way to reduce oil consumption even further.
Not all automakers are ready to jump on the ethanol bandwagon. E85 is one of many alternative fuels that Toyota is considering, but currently the company has no plans to produce flexible fuel vehicles for sale in the U.S. Honda does not offer any E85 vehicles in the U.S. either, but it supports blends of E10 in gasoline. "We are concerned about reliance on significantly higher levels of ethanol until we develop a more efficient production process relying on a product other than corn," said Ed Cohen, American Honda's vice president of government and industry relations.
· From Susan Sarandon to Kevin Bacon -- celebrities chime in on green driving. See videos here.
Why should you use ethanol?
You may already be using a blend of ethanol and gasoline in your vehicle and not even know it. Ethanol is used across the country in quantities of 5-10 percent to reduce smog-forming emissions and greenhouse gases. In 2004, the use of ethanol in the U.S. reduced greenhouse gas emissions by about 7 million tons, according to the Department of Energy's Argonne National Laboratory. That's the equivalent of removing the emissions from over 1 million vehicles on the road. In addition, ethanol is highly biodegradable, making it safer for the environment in the event of spills or leaks into the soil.
A 10-percent blend, called E10, is most common and is required in all gasoline sold in Hawaii, Minnesota and Montana, while a dozen other states are currently considering enacting similar mandates. Because all vehicles sold in the U.S. are made to run on ethanol blends up to E10, the only way to tell you are using a low-level ethanol blend is by checking the label on the pump when you refuel, although not all states require such labeling.
E85 is dispensed at pumps with the E85 logo and can only be used in flexible fuel vehicles. Currently, vehicles cannot be modified to run on E85 without violating federal standards. See the "Flex Fuel Vehicles Available" list below to see if you own a vehicle that is E85-compatible.
If you own one of the 5 million E85-capable vehicles, fueling with E85 is not only beneficial to the environment, you'll most likely see a small increase in performance, which will be accompanied by a small decrease in fuel economy. On average, when flexible fuel vehicles are powered by E85, the vehicles have about 5-percent more horsepower and a 10-percent drop in fuel-efficiency. The added power comes from ethanol's higher octane rating (ranging from 100-105). The fuel economy decrease comes from the fact that ethanol has a lower energy content than gasoline, which means you have to use more of it.
Flexible fuel vehicles are only minimally different from their gasoline-only counterparts. Typically, the vehicle's fuel delivery system is replaced with stainless steel or Teflon-coated components to ensure the E85 does not corrode them. In addition, there is a fuel sensor that detects the ratio of gasoline to ethanol. According to Lampert, early research indicates that because vehicles powered by E85 run so much cleaner than gasoline vehicles, some maintenance costs may actually be less than gasoline vehicles' in the long term.
Ethanol's future
The key to producing large quantities of ethanol lies in starting with materials that produce it more efficiently than corn does currently. While producing ethanol from corn uses only the starch portion of the kernel, leaving the protein, minerals and nutrients for use as food for humans or animals, most researchers agree that using non-food resources, like wood chips, willow trees, switch grass or corn stalks is a better long-term solution. The cellulose within these products would then be broken down and distilled into ethanol. Currently, however, this method of producing cellulosic ethanol is expensive. One of the goals of the president's Advanced Energy Initiative is to speed up the research in this area with the goal of making cellulosic ethanol competitively priced by 2012.
There's also the possibility of using E10 in more of the U.S.'s gasoline supply, or even fueling today's non-flex fuel vehicles with slightly higher blends. Several groups are currently studying the effects of blends up to E30 on non-modified vehicles. Early results from a study by the American Coalition for Ethanol show that the vehicles tested with E10, E20 and E30 did not show any signs of damage; however, more research needs to be done in this area, according to Brian Jennings, the group's executive president for public policy. Currently, automakers do not warranty the use of anything above E10 for non-flex fuel vehicles.
While it's hard to tell what the future holds for ethanol, it is definitely here to stay and will at least become more readily available. With federal mandates, research dollars and auto industry support, ethanol appears poised to be as viable an alternative as hybrids are today.
Flexible Fuel Vehicles Available
Flexible fuel vehicles, which can run on E85, gasoline or any combination of the two, are available on the following models. If you own one of the vehicles on this list, you can determine if it is E85 compatible if there is an E85 decal on the fuel door or by the VIN. For instructions on how to read your vehicle VIN to determine if it is a flex fuel vehicle, visit the E85Fuel.com Web site.