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Wednesday, 09/19/2007 1:02:00 PM

Wednesday, September 19, 2007 1:02:00 PM

Post# of 246353
DD Re: "Non strategic assets" (part 1)

[I should be following up on this post. More to come later.]

Here's some DD on the term "non strategic assets" as it pertains to investing. The following text comes from a real example of one company explaining why it sold such assets. The following text is from this link:

http://www.dmreview.com/article_sub.cfm?articleId=3477

"Non-strategic assets are viewed as critical to the business, but they can be leveraged for other purposes... This does not mean that non-strategic investments are not key to corporate success. It means they represent an opportunity to gain access to locked-up capital."

Not take a look at this...

http://www.eta-solutions.com/home/home_01.html

"Strategic and Non-Strategic Assets

If shareholders invest in a company that makes furniture, they expect an attractive Return On Equity from making furniture! Therefore, the company management's fiduciary responsibility is to concentrate on maximizing its shareholder's return from the business of making furniture. As a consequence, management must invest in strategic assets which primary purposes are to make furniture in the most competitive way!"

For Wisebuys to be selling "non strategic assets" they MUST OWN these assets. We know from yesterday's PR that these "non strategic assets" are worth enough money to finance the Hackets acquisition eliminating the need for debt or equity financing (so no dilution).

So it certainly appears that Wisebuys owns real property and is selling that property to fund the Hackets acquisition.

If Wisebuys does in fact own real property, as opposed to just being a tenant, than I believe it's fair to say that the company is worth more money than if it were just a tenant. I believe public confirmation that Wisebuys owns real property would be VERY bullish.

I have been given some guidance as to the nature of these assets. But I am waiting for confirmation later in the day.

This is all I have right now.