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Following recent announcment of the LOI to buy KCA Garment Industry Ltd, I made a rapid search and here is what I found (FWIW):
Name: KCA Garment Industry Ltd
Industries: Women's, misses', & juniors' blouses and shirts; Broadwoven fabric mills, cotton
City: Dhaka
State: n/a
Nation: Bangladesh
Incorporated in: n/a
Public Status: Private
Business Description: Manufacture shirts, jackets, overalls
Advisors: n/a
Target Sales: n/a
KCA Garments Industry Ltd.: Shirts, Jackets, Overalls
Industry type: Woven
Production capacity (annual production): 48000
Member of: BGMEA (Bengladesh Garment Manufacturers and Exporters Association).
I stnd corrected and notice that the balance sheet shows 2 items:
- Retained earnings-unrestricted ($ 4,181,981) and
- Retained earnings-restricted for tax holiday-Bengladesh ($ 1,859,158)
This second item represents (1,859,158/(4,181,981+1,859,158)) 30.7% of total retained earnings.
Therefore you are very likely right and I assume that the $1,859,158 is a reserve kept in relation with the potential obligation of Veltex if they decide to export money to U.S.
Then the only not accounted for obligation of Veltex, if they import money will be whatever taxes are applicable in U.S., 35% being the worst case.
Even better than I tought.
Assuming all this information to be for real, we own something worth (total shareholder's equity) $11,260,618 or $0.07/share, included restricted retained earnings.
The PPS seems frozen at 1 penny or so.
I wonder what the market would accept as capitalisation of such a company, if Matin could get some credibility and our stock was to become listed on a real market (as Matin said he want to do some day). For the momement our capitalisation is about $ 2,000,000.
Tough to beleive that this is only a scam. Much easier to imagine that we are part of what could be considered to be a reversed scam that will be justified by troubles the company effectively had to face in U.S. in 2003.
Who knows? Future will tell...
I suspect that this is what Matin has planned for, considering he probably tries to minimize diluting us and himself.
I also beleive that he probably already imported some money from Bengladesh to face his trucking problems. I assume he did not get enough from issuing shares at a sub-penny level.
Much of the funding he will require if he proceeds with the recently announced LOI will obviously be taken out of the Bengladesh subsidiary.
Therefore, hedging most likely doesn't offer much potential for the moment.
Till we see what the bottom line was in 2003 and have an insight on what he is doing in 2004, in U.S., we will have a hard time figuring out what we own and what financial alternatives are available to grow the U.S. operation.
I hope that during summer time we finally will understand somewhat what is realy going on. Till then, this remains a high risk, high potential speculation.
From what I've been told by a freind of mind, the money made in Bangladesh (and it's the case with many countries) has to stay in Bangladesh because something like 30% of it (+ or -) must be invested back into local businesse, in order to comply with provisions of the 'tax holiday' in effect out there.
Additionally, if it gets brought into U.S., another 35% (?) gets taken in your taxes (I however do not know if that can be used against past loses of the company).
So, assuming an 'accumulated profit' of $4-million (end of 2002) in Bengladesn, if Matin want to import it in U.S, he has to spend 30% or $1.2-million in Bengladesh (that could be part of the justification for the recently announced LOI) or give it away to the local government (???) and of the $2.8-millions that would make it to U.S. 35% or $1-million would have to be handed to mr Bush. Matin would then only get in U.S. (1.8/4) 45% of the original amount.
I stand to be corrected but that how I understood what what explained to me.
If we beleive what we read recently (some do, some do not and I still wait to make up my mind), we "know" that:
1- During his stay in Bengladesh, Matin did put up a very successful operation that generated a lot of revenues and profits up to the end of 2002.
2- Importing money from that operation into U.S. would mean giving away up to 55% to different governments. Therefore, keeping it out there seems logical
3- By the end of 2002, U.S. operation only generated about $261,000 of revenues.
4- At that specific time, Matin was releasing an extremely (some could say naive) business plan based on an integration of miscelaneous operations presumably generating synergy in view of a fast growth. Trucking was then the basis of his views (some would say dream)
5- Trying to execute on his plan, lacking required experience and not listening to his advisors, Matin went thru major problems (the trucking industry is a tough one to be in for inexperienced newcomers, some of his partners were more crooks than business partners,...). Velyex then most likely went thru major financial difficulties and Matin (not accepting to import Bengladesh funds) decided that using new shares to pay the rent was the best strategy (a lot of discussion can be held on this view)
6- All along, Matin behaved in such a way PR wise that his credibility went right down the drain. Lack of transparency, non met commitments, poorly written releases,...made anyone following this stock a very totally non beleiver of anything he was putting out.
7- Very recently, "apparently" better releases (I still have an issue with not knowing who made the audit in Bengladesh) should have help our PPS but it didn't (at least not at the "apparently" justified level). Credibility is something you take years to built and you can loose instantly.
Assuming the recent release to be accurate, I beleive that follow thru will be needed for the required credibility to be establshed (will promissed audited Q1 and Q2 open up a window on veltex's U.S. operation and what will it show, will Matin endup reporting normally, will he outline a credible plan of action looking a few year ahead, will we end up being listed out of the pink sheet market, ...)
I do not know where this is going but I beleive waiting is the only alternative I had. Not much to loose ($0.0125 per share) if the whole thing is effectively BS as some like to claim but enormous potential profits if recent releases are almost accurate. Still a high risk speculation but justified by potential rewards.
Finally, I doubt that shorting is yet a consideration at the present time. We should not suffer from that before we get in the $0.05 range ... if ever.
Checkpoint on my view of this "affair"...
I do not know what to think anymore about this stock, except that CREDIBILITY is the single most important handicap we have to face.
- Is what is claimed relative to the Bengladesh's operation accurate and/or for real? We have to remember that the audit was effectively done (presumably) by an unnamed firm.
- How bad were the damages suffered in U.S. with this trucking adventure?
If we accept what we recently were showned, Veltex total shareholder's equity wass (as of 12/31/2002) $ 11,290,618 including $ 4,181,981 in unrestricted retained earnings. As per Matin's earlier statement, 2003 should have increased these numbers.
Whatever way you look at it, a capitalisation of (160,000,000 X $0.011) $ 1,760,000 doesn't make any sense in such a context. The pet shop of my brother should justify a better capitalisation than that.
Today again, more than 5,000,000 shares will change hands (or find hands) and PPS is stable at an illogical level (if we beleive what was released).
Of 2 things 1:
1- This is a ridiculous scam (Have a very hard time beleiving it personally)
2- We will keep living the current ridiculous situation till, somehow:
a) Matin can address the enormous credibility issue we face (connot understand why this is not yet a priority considering his personnal interest and his apparent cash requirements in U.S.,
AND
b) he does whatever is needed (reporting normally among other things) to get out of this PS market and get listed at least on OTCBB (preferably on AMEX).
I must conclude that after years of a stupid behavior, Matin needs to do something (recruit someone bringing credibility to this affair) so he can put behind him and us, his reputation of total unreliability.
Till then, whatever he does and says will remin totally not trustworthy and therefore PPS will not grow significantly.
I hope he figures that out one of these ... months ... unless, something much more ludicrous is going on behind the doors ??? Who knows ???
In any case, after many years, I certainly intend to see the end of it with all my shares, whatever it will be ... if I live old enough ...
Thank...EOM
Found that on another oard:
"The amended NASD affirmative determination rule, which was recently approved by the Securities and Exchange Commission, will particularly affect short sales conducted through foreign brokers, most specifically Canadian brokers which have often been used by investors to sell short the stock of small U.S. companies trading on the Over-the-counter Bulletin Board or OTCBB.
Assuming we stay on PS market, I assume we will not be protected from these people (if we ever start having a worthwhile value allowing some shorting).
I do not think that PS stocks are part of the NASDAQ but I think the rule would also apply to these stocks.
I however am not realy an expert on the topic and stand to be corrected.
In any case I hope that Matin will one of these days get out of PS and get listed at least on OTCBB.
NITE's fight against stopping shorting - an official letter from Knight or NITE, to the SEC on 1-6-2004...
http://www.sec.gov/rules/proposed/s72303/knight010604.htm
Plan to regulate MM's
For those interested in this topic...
NEW YORK (Dow Jones)--Taking most market participants by surprise, the
National Association of Securities Dealers has drastically tightened one of
its rules governing short selling.
Known as affirmative determination, the NASD rule stipulates that brokers
and dealers engaged in a short sale transaction must make sure that shares
can be delivered by settlement time, three days later.
"We closed a loophole," said Steve Luparello, executive vice president of
Market Regulation at NASD.
Until now, non-NASD members, like specialists, option markets and foreign
brokers, weren't covered under the affirmative determination rule. That
means that non-NASD members didn't have to represent to the NASD broker
through which they conducted a short sale order that they would be able to
deliver the stock by settlement date.
A short seller typically borrows stock from a broker to sell it into the
market, betting that the share price will fall so that he can buy the stock
back at a lower price and pocket the difference.
The amended NASD affirmative determination rule, which was recently approved
by the Securities and Exchange Commission, will particularly affect short
sales conducted through foreign brokers, most specifically Canadian brokers
which have often been used by investors to sell short the stock of small
U.S. companies trading on the Over-the-counter Bulletin Board or OTCBB.
Because it's often impossible to borrow the shares of companies trading on
the OTCBB, investors and hedge funds looking to take negative bets on these
often-overvalued development-stage companies have traditionally been trading
through Canada where it's not required to borrow stock before selling it
short. The practice is known as naked shorting.
That trading avenue has now been effectively closed.
The new NASD rule doesn't cover Canadian brokers, since most are not members
of the association, instead it makes it the responsibility of U.S. brokers
trading with non-members to make sure that their counterparts will be able
to settle a transaction before completing a short sale.
"It's part of (a broker's) supervisory responsibilities," NASD's Luparello
said, adding that a non-member's previous failures to deliver should be a
good indication of whether or not it will in fact be able to complete the
transaction by the settlement date.
Market makers engaged in bone fide market making activities will continue to
be exempt from affirmative determination.
Luparello said that, unlike a parallel SEC initiative to tighten short
selling rules on the small-cap markets, the new NASD rules did not originate
from worries over mounting failures to deliver stock into the national
clearing system. But Luparello said the amended NASD rule fits nicely with
the new short selling regulations now under consideration by the SEC.
"I think it addresses a gap and (shows) that we, like the SEC, are looking
at a variety of things in this area," Luparello said.
The NASD proposal was first submitted to the SEC in November 2001, well
before alleged abuses of naked shorting became the focal point of a campaign
lead by some OTCBB companies in the U.S that say they have been victimized
by the practice.
While some investors argue that short sellers provide a needed service to
the markets, others have called for the complete abolition of short selling
because of the undue pressure its puts on the shares of companies.
While market participants in the U.S. and abroad are well aware of the new
short selling regulations being put forward by the SEC, known as Regulation
SHO, most said they knew nothing of the NASD's plan before it became final.
"It's taken us by surprise," said Richard Thomas, head of compliance at
Canadian brokerage firm Pacific International.
Although separate from it, the amended NASD rule fits tightly within the
SEC's SHO which is now under review by the SEC staff after a period during
which market participants were invited to comment on it.
As it stands, the new SEC short selling rules will make it easier to short
large-cap stocks since they would do away with the "uptick" rule, which bans
short selling on a stock when the price is falling.
But it when it comes to the small-cap markets, where it's often impossible
to borrow stock, the impact of SHO will be the opposite, making it harder to
short sale stock.
The new SEC rule sets a predetermined level of so-called clearing fails -
cases in which a broker or investor cannot deliver stock within two days
after settlement - which will trigger a 90-day blackout whereby the customer
will not be allowed to short sell that security. That 90-day exemption would
affect trading of U.S. securities in and outside the U.S.
The new NASD affirmative determination rule will take effect on Feb. 20.
People are not lining up to buy but those holdig shares certainly do not dump them right now.
Credibility is definitely the issue Matin will have to somehow address if he wants his (our) PPS to become representative of what the recent releases said.
He seems to own a great SUBSIDIARY in Bengladesh but we now need to figure out what has been (is) going on in US since the end of 2002.
"Veltex Apparel expects to substantially reduce the cost of
the finished goods it imports for resale".
That's nice but would be even nicer if we knew how much this "imports" are generating in US revenues currently?
"The company will also inherit KCA's long- standing customer
relationships with distributors and buyers".
Nice but would be even nicer to know where these "distributors and buyers" are?
I assume we will have to wait for release of 2003 financials to start getting some more answers.
However, if it's business as usual, whatever is released will most likely raise more questions than it will answer.
I beleive that IF EVERYTHING GOES RIGHT, we are in for a llooonnnngggg wait. I hope the wait is worth living thru it.
There is question I would like to have an answer to but do not seem to find by myself. If anyone can answer of find someone that could, it would be very much appreciated.
1- The financials we saw (except for a revenue of $261,000 in 2002) are all related to "Veltex textile mills", a subsidiary of Veltex Corporation, located in Bengladesh.
2- Therefore the audit we got was entirely made by an unnamed Bengladesh firm. I however assume that, not withstanding usual disclaimers, Anne Tahim corp did normal due diligence before they put the name of their firm on the report.
3- Now we find out that Veltex Corporation has signed a Letter of Intent to purchase KCA Garment Industries of Dhaka, Bangladesh. Accepting released financial, the corporation has important retained earnings in Bengladesh and could use them if the project goes thru.
Just looking at this (forget about 2003) and accepting it at face value (forget about the uncertainty relative to the auditor that effectively conducted the audit):
How do you estimate the value of a stock, listed and traded in US, but related to a 100% Bengladesh based operation?
Note: If the referred to D & B reports only consider US operation, it effectively (as of 12/31/2002) refer to a $261,000 revenue operation. It therefore describe a very small start up , excluding the subsidiart that generates all the business.
The company seems to be real
http://www.bdjobs.com/bgmea/view_company.asp?id=1894
This stock is enough to make anyone crazy.
Great financials reported and the PPS remains at plus or minus the profit per share of 14 months ago. Statement that 2003 was even better didn't help.
Now letter of intent relative to a significant acquisition plus restatement of nice revenue growt in 2003. Almost 2,000,000 shares traded at relatively same PPS in the first 15 minutes of trading, then no transaction for an hour.
And I tought I was starting to get good at following my stocks (darn proud of my moves over the last 18 months)???
In any case, 2004 SEEMS to be promissing...We shall see!
"either this capital did not exist (we do not know the value of the audit made in Bengladesh) or Matin decided to keep it in view of future acquisitions (here or there)." (post number 3020).
I think I probably got an answer to one of my key question, understanding this is only a LOI for the moment.
I am not going yet to try predicting where this stock is going but if everything that came out recently is true, we are looking at a profit per share justifying much hugher PPS than the one we actually have.
I hope Matin will soon bring someone on board that will make the credibility of that "affair" to the level needed. Normally reporting to SEC would also realy help us.
veltexisprofitable
Still around or did you dump at 1 penny or so? Surprised that you didn't show since your trip report.
Last post (unless I missed one):
#2727
12/30/2003
11:57:22 AM
One question.
Does any one know if there is something (laws, rules, tax reasons,...)forbidding Matin to take out from Bengladesh, the more than $4,000,000 retained earnings apparently available at the end of 2002 (could be much over $5,000,000 at the end of 2003 if we accept recent releases.
If so then, he had to get new funds to finance his US based operation and that could explain why he issued that many shares in 2003.
If not then, either this capital did not exist (we do not know the value of the audit made in Bengladesh) or Matin decided to keep it in view of future acquisitions (here or there).
One thing is for sure, current PPS doesn't reflect at all what we read last week. The only reason I can find is that people did not beleive the financials issued last week.
Waiting months to see FY2003 will oblige us to a lot more patience and wondering relative to what realy is ... or not.
Just for the fun of it... We had an after hours trade:
16:07:36 0.011 60000 OTC BBS
I Very much respect this opinion of yours and also want to beleive along these lines. I agree with your analysis. As a matter of fact, notwithstanding my questioning, I still figured out that chipping in an additional $1,000 was actually justifyable.
Either this thing is to nice to be true or it's the best kept secret in town (at least from the PPS recent evolution).
I very much enjoy this little stock and whatever Matin is doing, I have a lot of fun trying to figure him out.
During that waiting time, I am making murder in "normal" markets (personally I hate and practcally never volontarely get involved with OTCBB and PS stocks).
If VLVT ever happen to become what I hope for ($0.15/share or capitalization of 20 -25 million dollars, in 2004 would realy make me happy). Based on what was released last week (1.5 year old data), this is a conservative objective (multiplier of less than 15 if you beleive Matin promissing 2003 to be better than 2002).
If not ... I will have had my money worth of fun with it over time.
Wouldn't it be nice if tomorrow was to be one of these "Matin's beloved wednesday"?
You may very well be right.
I just have a hard time beleiving that days after days, some cashing small profits (few tents of a penny at a time) dump millions of shares at these prices.
100,000 shares bought at $0.007 and sold at let,s say $0.012 only mean $500 minus 2 commissions.
For that to be, these people had to keep these shares for months, in times where there was close to no reason whatesoever to have confidence and, now that there is bright at the end of the tunnel (hope it's not a train) they jump offÉ
I have a hard time understanding that.
However, it may be the case and then, I am a real happy cat.
On the other hand, Matin dumped 100,000,000 shares in the "market" at + or - $0.007 in 2003 and we do not know what for. Whatever the reason(s) is(are), I have to assume it still valid. I therefore can assume that Matin is still dumping shares out and getting 50% more for them as he used to.
Bottom line, I do not know what is going on but tend to beleive many of the shares being traded are still new one being issued by Matin more than shares being dumped by people like you and I, abandonning the game just as it's becoming interesting.
Who knows?
My experience is that whatever you say or write to Veltex, it has no impact whatesoever on what it is they are doing.
Assuming the reverse scam to still be a valid hypothesis, following last week release, there are even more reasons to issue to yourself new shares at a penny or so (however, they obviously let some go to remote uninformed (???) buyers (as I).
Assuming it's a scam (quite a shit.ty one however) getting a full penny per share is better than 3/4 of a penny as they have done for most of last year.
Whatever is going on, Matin is certainly not worried by his legal situation and keeps doing whatever it is he does.
One thing we however now know is that Matin delivers late but delivers. Remains to be seen is what he effectively delivered to us.
Frustrating ?
May be but darn fun if you like gambling.
I hope not to have made a fool of myself but I just got 100,000 more shares.
My portfolio of "investments" keeps growing and I was looking for an opportunity to increase my "betting position" (+ or - 3% of my total portfolio).
Notwithstanding my doubts, I decided that right now, VLVT is as good a "bet" as any other I could found.
Still... Where the heck do all these shares come from ???
That worries me...
One thing that realy bothers me is: "Where did the 30,000,000 shares traded since the release, come from.
I understand why some may want to gamble at this "low PPS" but who is dumping???
Why does it seem that supply of shares at $0.012 or so is unlimited???
Honestly, that starts to worry me.
We may very well have a goldmine in our hands and it certainly is not time to dump our shares. As a matter of fact, I was not able to get 100,000 more shares at $0.011 and am not prepared to pay more right now (however I could risk a little more if I had no shares yet).
The audited results we saw last week were incredibly good (I cannot say better than expected since I almost had stopped expecting...).
However, we definitely need at least the next promissed release (Q1 and Q3 of FY2003) to better understand what we are realy looking at.
My concerns remain:
- 100% of revenues in 2001 were obtainned out of USA.
- All but $261,000 came from the same source in 2002.
- Financials (almost all) were audited by an unnamed external auditing firm.
- Why, considering yearly bottom lines and accumulated earnings, did the commpany have to issue 100,000 shares at sub-penny pricing in 2003?
I am sure that serious "investors" have noted these questions and we have to also consider the (lack of) credibility of Matin up to now.
That explains why we are stuck at $0.01x right now, notwithstanding financials "suggesting" that a $0.15 PPS, at least" seems much more justified (twice the claimed profit per share)
VLVT is still a pink sheet stock (investors do not even look at these), is still a non-reporting company (Matin did not say when he intends to do that)and is still more a "gamble" that a fundamentally justified "invesment".
This being said, we are miles ahead of where we were a couple of weeks ago and a "wait-strategy" is very much more justified than it ever has been with this situation.
For us to get the dreamed-of gold mine, the following steps will have to be made (basic assumption being that recent numbers are for real):
- Releasing results of full FY2003 (better than the 2002 ones according to Matin and hopefully showing important progress in US activity).
- Normal reporting to SEC
Assuming the best, a $0.30/share is very likely (assuming + or - 160,000,000 O/S)
- R/S of 1 for 10, favouring
- Listing on AMEX
If this happen to be, excluding buyback of shares (have a hard time inderstanding why claimed retained earning of $4,000,000 + at the end of 2002 did not result in that already being done), a PPS of as high as $5.00 (based on 16,000,000 new shares outstanding) is possible (capitalization of less than 20 times retained earning of $4,000,000 + or 12.5 times an assumed $2,000,000 net earnings in 2003).
All of this "dream" depends on the thruthfulness of recent releases and claims.
That is THE issue right now.
Got that from another board.
When MM's start fooling around with a stock of yours, you face real big ennemies...
Abstract from NITE's last Q10:
"Securities sold, not yet purchased", at market value
$2,633,328,385.00 ... and that is only one of them.
I do not think this includes Veltex srocks yet but if we ever start mooving count on these sharks to be around...
Saw 80,000 at 3:20 and 50,000 at 3:23 go at $0.01. Are these yours?
Notwithstanding my previous post defining what I assume to be the picture as seen by those that didn't follow it as we did, I also have a good feeling since recent release. Certainly did not intend to throw stones at it now!!!
To end the week on a positive note, let me add that:
1- Comparing what the audited results did show, to what Matin documented in his Dec 4th 2002 business plan, we must admit that he then was saying the truth (Let's forget about his dream at the time seeing the PPS go at $2 to $5).
2- Even if we had (almost ???)abandonned the idea of seeing audited results, I do not know why it took so long but, Matin wasn't lying when he promissed it.
3- The recent visit by one of us did confirm that an office/warehouse there is, and Matin was able to enter a lease.
...
I also assume that MM's found us (dam plague if there is one) and therefore will have to live with these crooks for some time.
I also did try to get shares at $0.01 (still an important risk in my mind but odds seem better now than ever. $1000 will not hurt me if I get them, my cost will be even lower (easier to get back my old presumed lost money).
My point was that a first step was made for Matin to get some of his credibility back but, considering last 2 years history, additional steps (Q1 and Q2 2003) will be required if our PPS is to start reflecting the apparent financial situation of the company.
(Profit/share = + or - 1 cent on the basis of $160,000,000 O/S)X 15 = $15 cents
The ongoing PPS is the proof that Matin's behavior has negatively impacted the market much more than I would have expected.
The following concerns will have to be removed:
1- How reliable is the Bengladesh audit (99% of claimed revenues came from there) and who did it?
2- Why were 100,000,000 new shares issued considering the cash position at the end of 2002?
3- When will normal reporting to SEC be made?
4- Are currently traded shares new ones still being issued by the company and, if so, what for?
5- What are the reasons for Q1 and Q2 of 2003 not to yet be completed? (I hope we will not have to wait months before they are issued and hopefully, US sales will be more than $261,000).
At least in my case, these prevent me from buying more... even at 1 penny.
Matin will have to communicate better and more accurately if his baddly crippled credibility is to be re-establihed.
Credibility and PPS are very tightly related in the market.
Great (???) improvement today ???
It's now -24C (-33) with 50km wins.
There is a golf course right in front of my window. It looks like films we see about the north pole. I expect to see polar bear going by any time now !!!
Right, there always 2 sides to a medal!
http://www.pinksheets.com/quote/quote.jsp?symbol=VLVT
and
http://quotes.freerealtime.com
On this site, all day long I saw ask at $0.013 and 40 transactions today went at $0.013. Except for before 10:54 this morning (16 trades) and between 11:20 and 12:05 (40 trades) this morning half (40/83)the transactions were at $0.013.
139 trades worth $750 on average. I am not surprised to see that number of small buyers (on average) but do not understand why that many shares would be avalable for a sub-penny profit?
There seem to be an unlimited supply of shares at $0.013 and they all went at ask all day. I must say that I do not like that ???
I would realy like a.ssholes not to address the following, considering they do not have any fact to support their continuous affirmations. Thanks for keeping your mouth shut!
This disclaimer being made, Why is it that, having followed this stock for years and having seen what we saw yesterday, I still cannot decide to chip in an additional $1,000 to average down my cost???
A lot of questions do remain unanswered for me.
1- Notwithstanding the fact that an apparently serious auditing firm signed the audited reports for 2001 and 2002, granted after the usual disclaimer, the fact is that 99% of the revenues came from Bengladesh and were effectively audited by an unnamed firm. I have to assume the US auditing firm did whatever had to be done to validate the information they got but there is quite a serious unknown behind the reports we got yesterday.
2- If the reports are effectively accurate, then at the end of 2002, Matin had over $2,000,000 in cash and over $4,000,000 in retained earnings. Why then did he have to issue 100,000,000 shares or so generating quite less than $1,000,000 in 2003? Could it be that all the funds are stucked in Bengladesh and not tranferable to US?
3- I can understand that alot of new "investors-gamblers" came in after reading yesterday's release, chipping in $1,000 or less (average transaction today is for 56,000 shares worth about $725 + commission), but who sold almost 30,000,000 shares at these levels within 2 days of the release that came out yesterday?
On the positive side, we have to accept now that up to the end of December 2002 Matin seemed to have been saying the thruth even if slightly embellished. Even during 2003, when he said that an audit was in the works, he obviouly was thruthfull. So was he when he announced the move of the company in a better facility.
Then when he said yesterday that 2003 was even better than 2002, may be we have to beleive him again ???
Bottom line is then: why do I feel adding 100,000 shares to my position is still high risk enough to sit on my hands and wait???
O.T. Great news, it's now only -25C (-32F) excluding win factor (went at -41 last night).
Weather channel right now is as popular as business channels. The only difference is there is no doubt, with the weather channel, that "it" will go up ... sooner or later.
You guys should go and enjoy the other board where name calling and stupid comments are very much appreciated.
Your continuous unsupported affirmations are borrrring and, even anonymously, make you look realy stupid.
Tomorrow's forecast is - 33 celcius (-36 in american degrees) but taking into account the win factor the perception will effectively be -45 C (-43 F).
H O R R I B L E !!!
If you go at http://www.pinksheets.com/, you will see that VLVT ranks 6th on the list of "Today's Quote Request Leaders".
Certainly already attracted some. More to come for sure.
Carefull but darn happy myself.
On the basis of 155,531,946 shares outstanding, at current Price/share (0.0115), the value the market accept to give Veltex (capitalization) is $ 1,788,617 or 45% of the reported shareholders equity.
Credibility remains very low in the market and my previous post may explain that ... at least partially.