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Fade to black and roll the credits. New movie starts in 10 Days!!!!
Without news, it might be more than a test. It could be lesson and final exam rolled into one. I can't imagine what is holding them back from product announcements. Wish the company would give us a hint as to the process they are going through. The only peek we have is from April 25th press release....
" Holding several product and design patents and trademarks, Capstone will develop, distribute, market and sell a line of diverse hardware and automotive tools to retailers nationwide."
Capstone must have had some solid ideas that they approached Clorlox with. How long will the development phase take?
I hope all this is leading to an illuminating July!
I would not think that July 1st would be the greatest time to launch a new website. The Sunday before a shortend holiday week.
Lots of potential content though:
STP Product announcements
"Simply Comfort" Product announcements
Trade Mission updates
Hurricane Tracking Map
Small joke on the last one...
Whatever became of......
China Direct to Host 'Direct Connect' Quarterly China Trade Missions
Tuesday March 20, 11:14 am ET
COOPER CITY, FL--(MARKET WIRE)--Mar 20, 2007 -- China Direct Trading Corp. (OTC BB:CHDT.OB - News) (China Direct), a Florida corporation, announced today the company has launched a new initiative to increase its consulting business for U.S. companies seeking to do business in China. Called 'Direct Connect,' China Direct has signed up three U.S. corporations to date. Under the consulting agreements, China Direct will receive a China trade trip fee as well as royalty agreements for any business resulting from China Direct consulting efforts. China Direct will be acting not as a trader but as a direct facilitator connecting buyers and sellers.
China Direct anticipates the first 'Direct Connect' program trip to China to occur in April and the second trip to take place in June. We are seeking additional U.S. firms seeking to export their goods or services to China. In most instances the company charges a standard consultation fee along with a royalty fee of 5% of all transactions or orders consummated. The company will also provide all logistics and brokerage services upon request.
"China is hungry for new products and technologies and looks to the U.S. to help its country be more efficient and thus more productive so it is with great pleasure that we to offer a program for U.S. companies to access the proper connections in China to sell their products to the fastest growing consumer population in the world," said Howard Ullman, Chairman and CEO of China Direct. "China has joined the WTO and U.S. products, brands, and companies are beginning to reach the Chinese market. Our company, with its Chinese business and government contacts, is in a position to act as an introducer of products and technologies to the Chinese marketplace."
With 2 trips under their belts, one would hope for some deals being closed. Hopefully all the great news about new STP automotive tool product launches and lucrative consulting deals will feed the upcoming July website launch and media blitz. If they can just follow through on a couple of their promises... confidence will build and maybe we can get out of the crapper. It is a good sign that Howard bet the farm on the STP deal....
ITEM 8.01 OTHER EVENTS: LOAN FROM DIRECTOR. On May 30, 2007, Howard Ullman, the
Chairman of the Board of Directors of China Direct Trading Corporation ("China Direct") loaned the principal amount of $575,000 ("Principal") to China Direct for use in funding the brand-name marketing campaign by Capstone Industries, Inc., a wholly-owned subsidiary of China Direct, for its consumer products and for general working capital. The principal amount was obtained by a loan on real estate owned by Mr. Ullman.
We will probably idle here between .02 and .025 until the website launch on July 1. Looking forward to some product announcements in July about products shipping in Q4 in time for the Holidays. That should break us out of the duldrums!!!
GLTA
Howard did mention that he believed the PPS was "artifically low" (whatever that means) in the last conference call.
What you are seeing is the out of the box default template for the dotnetnuke framework with the exception of the CHDT logo. You can read about the framework at www.dotnetnuke.com.
What it tells me is that there will be dynamic managed content on the site once it becomes operational. Let's hope the template developer has some experience. If so, the site will certainly be better than the static pages on the old site. The fact that they are using the dotnetnuke framework puts a lot of potential in the hands of the web development team. Let's just hope it is not Howard's nephew with a part time summer job.
The silence is deafening here today. I'll just shut up and await the Sheepskin Seat Cover product launch announcement.
Red Flag on Gerry McClinton - Chief Operating Officer of China Direct Trading Corp
Prior position was Chief Financial Officer, Sagaz Industries, Inc., 1998-2000; in charge of the Production/Accounting and Information Systems team that transitioned the Sagaz automotive consumers products company into the Pennzoil/Quakerstate Corporation, Sagaz Industries, Inc., 1995-1998, V.P. of Operations, responsible for the production activities of 500 employees producing Automotive Consumer products. He also served as comptroller of Sagaz industries, Inc.
Here is the rub....
In 671122 Ontario Ltd. v. Sagaz Industries Canada Inc. [2001] S.C.J. No. 61, the plaintiff was the principal supplier of sheepskin car seat covers to retailer Canadian Tire. After losing Canadian Tire's business, the plaintiff discovered that Sagaz Industries Canada Inc. ("Sagaz Industries") had replaced the plaintiff as the supplier of car seat covers. Sagaz Industries had been successful in obtaining Canadian Tire's business by retaining a marketing company, American Independent Marketing Inc. ("AIM"), which was controlled by one man who bribed a Canadian Tire executive to accept the defendant's business. The plaintiff argued that Sagaz Industries should be liable to the plaintiff for AIM's unlawful acts.
The Court concluded that AIM was an independent contractor. Although Sagaz Industries controlled what work was done, AIM controlled how it was done. As a result, Sagaz Industries was not held responsible for AIM's actions.
Monkey business to be sure!!!
Seems like the right sequence of events.
China Direct Trading Corporation Receives $575,000 Loan From Senior Management
04 Jun 2007, 11:20 AM ET
China Direct Trading Corporation announced that it has received a loan for $575,000.00 from its Chairman, Howard Ullman. The loan is to be used solely to fund the staffing for the wholly owned subsidiary's, Capstone Industries, Inc. Terms of the loan are for two years, which repayment shall be made in calendar quarterly interest and principal payments. The interest rate is 10.455% per annum.
China Direct Trading Corporation Subsidiary Signs Agreement With Asian Outsource Design Group LTD
30 Apr 2007, 01:30 PM ET
Capstone Industries, Inc., a wholly owned subsidiary of China Direct Trading Corp., announced that it has entered into an agreement with Asian Outsource Design Group LTD/ISL (AODG) to assist with sourcing and development of Capstone's licensed hardware and automotive accessory programs. Capstone will develop, distribute, market and sell a line of diverse hardware and automotive accessories to retailers nationwide. In addition to offering product development and design services, AODG, a Hong Kong-based company, brings to Capstone overseas production operations, providing factory certification, production monitoring, quality control inspections, and logistic services.
China Direct Trading Corporation Subsidiary Signs Agreement With Armor All/STP Products Company
25 Apr 2007, 01:30 PM ET
Capstone Industries, Inc., a wholly owned subsidiary of China Direct Trading Corporation, announced that it has signed an exclusive licensing agreement with The Armor All/STP Products Company (STP), a division of The Clorox Company. Capstone will develop, distribute, market and sell a line of diverse hardware and automotive tools to retailers nationwide.
Or maybe it is more along the lines of Fuzzy Dice!!
Whatever it is, it seems like the loan from Howard will partially pay for the initial product placement on retailers shelves.
I can't wait to see what kind of STP products they are going to introduce.
I did NOT see a "Flip Neck" booklight among the other 4 Capstone offerings at the B&N in Man Bch,CA. See the pictures ... http://new.photos.yahoo.com/mojoroe@pacbell.net
Numbers 3 and 4 in the mosaic are the same light just different box color.
The offerings in CA were:
1. Compac LED Multi Task Light
2. Tri Lite Ultimate Booklight Gift Pack with Adapter
3&4 Timely Reader Booklight 2005
5. Silver LED Slimline Booklight
I just got back from Barnes and Noble in Manhattan Beach, CA and took pictures of the display. There was a gift suggestion booklight with a gift card purchase. It was the Book Owl booklight which carried a Barnes and Noble brand. Did Capstone source these nights to B&N???
Photos
http://new.photos.yahoo.com/mojoroe@pacbell.net
Looks like we are set up to test .02 again tomorrow. Just how low can we go before news on product launches? It was good to see Howard stepping up with the loan but it seems like a no lose situation for him. I'm heading over to Barnes and Noble in Manhattan Beach, CA this evening to see if the Father's Day book light offers are evident.
When your marketing research consists of your wife bitching about not getting her roof tiles on time......that is what you get.
Glad to see Howard had the sense to hire people with references/track records. My only hope is that their past experience is relevant. Lots of retired greatness in South Fla willing to get out of their assisted living residence for the afternoon if you are in the whip and buggy business.
Since Reid Goldstein is now President of Capstone, he can recant Gerry's comitment. Just like the old CBQI days I'm affraid.
I was in B&N last night and saw nothing of the promotion. What is more disturbing is the the quote further down in the COOPER CITY, FL--(MARKET WIRE)--Apr 5, 2007 press release....
"Capstone intends to continue to develop new and innovative lighting products for our customers in the booklight market," said Gerry McClinton, President of Capstone Industries. "We are exited about all of our new product launches as we continue to grow our market share in this category."
Howard clearly stated in the CC that revenues from the STP - Armor All branded tools and automotive products would not be realized until the 4th Quarter. I'm still waiting for the Father's Day booklight promotion to show up on the B&N website. Set the alarm clock for Halloween.
This is going to leave a mark! How pathetic. Can't say it wasn't expected. Time to make some lemonade!
We know very little about the "Exclusive License Agreement" other than it was signed. Questions I have are:
1. Who initiated the agreement?
2. If Clorox did, then look for Capstone to deliver branded tool kits and other automotive products (floor mats, cup holders, etc) to Clorox for distribution through the STP supply chain. This would be big!!
3. If Capstone did, then look for Capstone to add STP and Armor All branded toolkits and automotive products to their catalog offering to their current retailers especially Wal-Mart, Cosco and Target. This would be not as big.
All in all, we need more details. Maybe during the CC later this month when CHDT announces 1st Q.
Maybe an STP ratchet set can fix that cobweb!!!
Where did I put my Britney tool set?
Do you think Britney Spears spinner keychains are on the horizon? Just kidding...
Whoops I did it again....
Just curious of the terms of the "partnership." Does Capstone bear the burden of design and manufactureing the tool sets with the STP or Armor All logos? Don't get me wrong, I love this deal. I used STP in my '67 GTO. It brings back fond memories.
I wonder if CHDT paid Clorox for the right to use the STP and Armor All brands or does Clorox just get a cut of the sales revenue.
From: http://www.goldmarks.net/papre_brand_license.shtml
The recognition that brands are a powerful yet underutilized assets is why trademark licensing has become a popular marketing strategy. Because many brand owners don't have the resources to pursue every viable business opportunity, they utilize trademark licensing to enter new markets beyond their core competencies.
Brand extension licensing (i.e. licensing the brand in new product categories) allows companies to obtain even greater ‘leverage’ from their brand assets. For the brand owner or licensor, brand extension licensing provides royalty revenue and a variety of brand benefits. For licensees, licensing a strong brand can provide high consumer awareness and a clear, appealing image for their products.
Although a brand extension license relationship can offer significant benefits to both licensor and licensee, determining the value of the license, and gaining agreement on the terms of the license agreement, can be quite challenging.
Unfortunately, valuation methodologies that focus only on financial metrics or comparable transactions are not adequate to determine the value of brand extension license opportunities. Brand is important, however, the licensor’s operations and stakeholder relationships can also have significant value to the licensee and need to be considered. In addition, the value must be determined in the context of each licensee‘s business.
$25 table dances
Leading the pack!!!!!
You can say that again (in English) E-Man!!!!!
Ladies and Gentleman....Start your engines!!!
BRANDS!!!!! Take your pick!!!!!!
or
Tools will be an awesome addition to both their product lines!!!! This will truely be huge and now that we are getting the China supplier lined up.....
Great News Today!
OSDG needs to get the STP toolset designs approved and manufactured this quarter so they can hit the retailer shelves for the Christmas season.
As others have said...."All coming together." Just takes a little time.
Richard Loves CHDT!!!!!
http://www.stp.com/index.html
Bart Fisher is a jerk. I found Howard's comment during the CC that the PPS was "artifically low" very curious. I would love for him to just come out and tell what prompted his comment but I'm sure there are all sorts of regulations preventing that.
Time to set a wakeup call for Halloween.
During the last conference call, half of the opening statement was obliterated by people joining late and announcing their name over Howard trying to deliver the financial results and future outlook. They should block people joining late. I think AT&T can do that if requested.
Howard can handle questions fine. Rich and the beeping on AT&T conference calls are the problem.
I'm glad to see the webcast added. I think they should give up on the call in format. Last CC was very distracting the way that it beeped and booped when people came and went.
Howard does better in a scripted environment. I thought the smallcapvoice.com interviews were much better that the adhoc standup that Rich puts Howard in.
Play to your strength Howard.
Get a job Rich!!!!
Barnes and Noble product pages for Capstone book lights
http://search.barnesandnoble.com/booksearch/isbnInquiry.asp?z=y&EAN=9780641710919&itm=11
http://search.barnesandnoble.com/booksearch/isbnInquiry.asp?z=y&EAN=9780641615887&itm=15
http://search.barnesandnoble.com/booksearch/isbnInquiry.asp?z=y&EAN=9780641615849&itm=16
http://search.barnesandnoble.com/booksearch/isbnInquiry.asp?z=y&EAN=9780641615832&itm=20
Wow! I learn something new everyday!
http://www.urbandictionary.com/define.php?term=mook
Can't wait for tomorrow.
We will have to see what the current CHDT definition of "hired" is. Someone drawing a base salary will be under greater pressure to perform than a person under a commission contract. Still, either way, it is a positive move.
The Las Vegas show is only 3 weeks away and I'm looking forward to "chatting" with Howard and his illustrious "sales" force. I've been thinking of selling my Megashares and letting the proceeds ride on RED on the roulette table. I probably stand a better chance of breaking even. Shieatt!!
Vegas Baby Vegas!!!!