Crailar Technologies Inc. (fka CRLRQ)

[wplong89]

I just got off the phone with Ted. Of course he couldn't comment on much but he stated the committee formation and the GP termination are independent events. The committee will be looking at restructuring the convertible debt among other things. I am happy they are now actively working on tightening the balance sheet. He doesn't believe the company will seek a qualified CEO until the balance sheet has improved. The GP termination he stated was not all that unexpected and it sounds like it was posturing by GP. I anticipate a new contract will be signed but with more favorable terms towards GP as they have significantly more leverage. On the bright side he stated GP has not affected dedicated facility discussions, and that trials for both companies looked promising. One of which he stated was for particle boards (Ikea?) and how Crailar reduces weight significantly and how it could improve the companies shipping costs. I still think a dedicated facility is our best shot to breakthrough, fingers crossed. All in all yesterdays press release was only a Chicken Little event for some, I think we still have a good shot here.