Just noticed something else in the last 10Q that I passed over the first time. The CEO was given 140M shares with an incentive plan. The company needed to reach either $1.5M in net income by the end of 2005 or $5M in revenue, unfortunately that did not happen. So we should expect to see 140M shares removed from the outstanding share count. That accounts for almost 20%, unfortunately I think that might be part of the 165.9M that Mr. Bain owns. So with this we can retire 20% of the O/S but reduces the exciting level that insiders owned.
This 10K should definitely emphasis GROWTH. Total sales in 2004 were $3,055 which came from 5 commercial customers that were billed for 30 total TransTRAK units. I'm going to assume that the company completed it initial order from Estrell Blanca for 100 units. They had a few additional contracts with other transportation companies (Fruge's Distribution and A+ Airport Transportation). Oh and can't forget the contract with All My Sons Moving & Storage. I estimate revenues to be around $180,000. The merger with AutoTrack GPS might bring in the same amount which means that we should at least double revenues by the end of 2006. Hopefully some overlap of the two companies can be eliminated which will reduce overall costs and get us closer to profitability.
Should be on the horizon...
1. PR retiring 140 million shares
2. PR about another contract with a waste management department in Florida
3. PR about a new contract with Two Men and a Truck Moving & Storage franchise (could be a big one)
4. PR about an additional purchase order from Estrella Blanca for up to 10,000 units (another big one)
5. PR outlining AutoTracks GPS business and what it brings to the company
6. PR about a small contract generated from the Chicago meeting on the 9th of March
Hopefully on the horizon...
1. PR concerning additional acquisition/merger partner
2. PR announcing Canadian sales office and additional focus into that market for both commercial as well as municipal customers
3. PR announcing other applications for the TransTRAK
4. PR about additional conferences that the company will attend this year
Well there are a few milestones that we can begin to track. It is important to keep in mind that the company really did not begin its focus and direction into this segment until August of 2005. So by August of this year I expect big things (some above). At only a $3M market cap I would not be surprised to see this as a possible takeover target.
