With all of the negative events of the world coming at us not stop - rapid fire....
...it's quite possible that TOVC is poised to bring us joy and peace on earth...
CEO update copied below..
Message From The CEO
December 4, 2008
Dear shareholders,
Much has happened since I last wrote to our shareholders through a CEO Update-----a financial crisis not seen since the 1930s, a stock market implosion with resultant unprecedented volatility, heightened-awareness that terrorism is still with us and a new president-elect.
Despite troubling economic times, we at Torvec continue to be very optimistic that the best days for the company and its shareholders lie ahead. On December 2, 2008 we filed our proxy statement with the SEC for our upcoming annual meeting to be held at Casa Larga at 7:00 p.m. on January 29, 2009. Based upon the information available to us at this time and the direct feedback we have received from specific companies with whom we have strict confidentiality agreements, we believe we will be able to announce at least one, and perhaps more, major development(s) at or just before the meeting. This is one reason why I am really looking forward to this year’s meeting. In fact, if one of the developments I believe will eventually happen takes place and can be announced at or just before the meeting, this annual meeting could truly turn out to be a “watershed” meeting for our company.
In the meantime, I just want to take this opportunity to update you on the current status of ongoing projects which we have previously announced.
The Air Force continues to “evaluate” the FTV it purchased in October for adaptation as its Advanced Combat Firefighting Vehicle. It also has demonstrated the vehicle to other military personnel, state and local governmental officials and representatives of a number of state and regional firefighting associations. We anticipate the next step in the process will be an Air Force order for the second generation unit;
We have received positive feedback from a domestic auto company upon completion of its evaluation of our IsoTorque™ differential for use in its RWD models. The company now wants us to build and furnish it with our IsoTorque™ technology for use in its FWD models;
We are now building seven IVTs for NASA’s lunar vehicle and anticipate delivery of these units in the first quarter, 2009;
Please refer to our November 5, 2008 Update for more information on the status of projects not discussed here.
Quite naturally, over the past several months, I have received expressions of concern from shareholders about the decline in Torvec’s stock price. Let me say at the outset that while I am disappointed that our stock has declined to recent levels, I am not “distressed” over the price.
First, as your CEO, I know the identities of the companies we are talking to, the nature and scope of the discussions and the very real potential for consummation of one or more business transactions in the very near future. I know and see first hand how excited executives are in our products and the very real interest they have taken in developing relationships with Torvec. To me, it does not matter what happened in the past when our products were not as mature and “market-ready” as they are now. What matters now is that real companies are discussing real transactions involving real and significant dollars with us today.
The maturation of our products and the real interest of companies to engage in discussions gives me great confidence in Torvec and its future. I understand that these developments and my confidence are not reflected in our stock price and that fact does disappoint me. To me, this confirms what I have said many times in the past--- our stock price in no way reflects the true underlying value of Torvec and is more reflective of the fact that the price—whatever it may be from time to time ---is unduly (and negatively) influenced by uncontrollable and turbulent market conditions. Reasonable people may have other explanations but that is my take on the issue.
The point I am trying to make here is that Torvec, as a company, fundamentally has never been stronger if “stronger” is measured by possession of mature technology that works and sincere and growing interest on the part of third-parties to acquire and/or license these products. I am fully confident that significant revenue-generating events will take place. As I said, I believe there is a reasonable chance we can have a major announcement by our shareholders meeting.
I could end this Update here, but I want to highlight a couple of very important points. First, as mentioned, Torvec has filed its proxy statement for the 2009 meeting. The statement discloses the stock ownership of your board and management, including Keith and myself. The document discloses millions of reasons why those named are disappointed in the stock price but no one is “bailing” despite the temporary price decline. No insider is “bailing” or even thinking about “bailing”. Why? Because we are aware of developments which are taking shape now that could very well lead to significant revenue producing events and a higher stock price. This is fact, not fiction (unfortunately, as I have said before, it is also fact, not fiction, that Torvec can not unilaterally control the exact timing of any of these events--- which, admittedly, is frustrating to all).
For the same reason--- our knowledge of developments taking shape that could have a very positive effect on our stock price---we are prohibited under SEC rules from buying more stock even though, personally, we would like to do so to underline our commitment to our shareholders and our belief in Torvec’s future.
So, we at Torvec continue to move forward. I would like to thank you, our shareholders, for walking with us in the past and trust that you will continue to do so in the future.
Sincerely,
James Gleasman
CEO
AI
