How many people here have actually bothered to READ the 8-k???
Not much here to get excited about if you READ.
"Six Months Ended July 31, 2007 Compared to Six Months ended July 31, 2006
WiseBuys Stores, Inc. retail division has experienced losses since inception, which is primarily a result of: (i) the expensing of start-up expenses incurred since 2003, and (ii) the lower per item sales price and lower margins (to WiseBuys) associated with its "third party" retail relationships. Management does not feel that WiseBuys can avoid start-up expenses if it is to continue an aggressive growth strategy, and while start-up expenses may be significant they are viewed as an investment in future recurring business and necessary to grow the company.
The lower margins and lower per item sales prices of the goods are generated primarily because of WiseBuys' third party partners in "discount" clothing and footwear. For the future, WiseBuys management intends to supplement or replace these partners with internally procured merchandise of higher quality, higher margin goods. We are exploring a number of avenues to achieve this reformation of our business model. Bringing clothing and footwear procurement and merchandising capability in house to WiseBuys is one of the key motivations for the current plan to acquire Patrick Hackett, which would replace our third party vendors with a fully integrated system for marketing high quality clothing and footwear under proprietary labels.
WiseBuys net sales for the six months ended July 31, 2007 totaled $1,871,483, a decrease of 26% from net sales recorded in the six months ended July 31, 2006. The primary reason for the decline is the decision of management to alter the company's fundamental business plan, from a business focused on third party vendors to a business primarily involved in marketing our own inventory. WiseBuys has not yet achieved the business alliances or the financing that will be required for the conversion. Nevertheless management has gradually reduced WiseBuys involvement with third party vendors in anticipation of the change. The immediate result has been the reduction in net sales. "
