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Re: VPbanker post# 135308

Thursday, 03/30/2006 10:15:14 AM

Thursday, March 30, 2006 10:15:14 AM

Post# of 286411
VP Banker,

(if I were a pumper, I would say YES!) But the truth and unbiased opinion is as follows:

It could not be tied to CC in any way.

GZFX management and CC have stated that in no way will CC take an equity stake in a company like GZFX.

There are various reasons for this.

A few thoughts that have been mentioned:

Circuit City Side

- CC business plan does not take equity stake
- Legal issues when owning a portion of another company
- CC wants a clean break should GZFX not live up to the Agreement
- CC has a great deal as it stands, GZFX is a cash cow to them


GZFX Side

- GZFX does not want to tie itself to one retailer
- GZFX wants to have the flexibility to expand as they decide
- CC will only account for a small portion of sub growth

The good news is that many employees have purchased stock. Management too. They are on their own to do as they please. But the company will not purchase any in their name.

Being affiliated with CC creates awareness for GZFX and the stock price. It also open the door to more retail opportunites moving forward. Dropping the CC name helps alot.

Does this help, VP Banker ? all imho disclaimer.







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