IMO
John has already made clear what his intentions are, and all the rest of the things we hope for (guidance, forecasts, MEETING or BEATING previously announced sales targets) are not forthcoming. His DGM release, IMO, all but spelled out that this 'retail' venture we all invested in is being put on the back burner, while he steers the business back towards arenas he is more comfortable with.
Will there be growth? Sure. Will there be products? Sure. Will SLS become a household name like Bose? Unlikely. Without a national marketing campaign (and BIG money, and a commitment from management to pursue it), via 'organic' growth that milestone will not come. Unless the acceptance of the Evenstar amplifiers is unlike anything we've been expecting, none of the segments of SLS's businesses (combined or separately) will produce $1B in revenues by 2010 at current growth rates (doubling revenues YOY from $4M in 2005 will result in $128M in sales by 2010 - a far, far, far cry from $1B) and therefore we will not see a $10, or $5 stock as expected by 2007.
The lawsuit is exemplary of how Lamar works; little effect (if any) on SLS (stock or business) since it effectively divested itself from funding / development of that product line as of the last meaningful press release.
How would you characterize what's happened here? John brings in investors by issuing $1B forecasts, national exposure and celebrity support; he fumbles through a half-hearted product launch, shrugs his shoulders and goes silent, unable to adequately fund expansion. You tell me.
My condolences to those who bought in large.
