This is going to be a different spin to the post you made. I agree both are sound DD, but you are looking at the WowGreen side of it, and ignoring other important aspects of achieving there projections for 2009. This will be my last post on this subject, because both opinions are speculative in nature, and one only needs to decide which they choose.
I find after reviewing past PR's, and doing a little math that the projections are easily achievable.
Let's review the November 20, 2008 and the January 30, 2009 PR's.
Let's assume that in the near future the bottling and labeling will be done by MSI corp. thus the reasoning for the close proximity, and it says so in the PR.
Now that would leave the 30,000 square ft. facility to be used for the purpose of blending correct. As stated in the PR the new facility along with new equiptment give EESO the capability of producing 80,000 gallons a week of product.
Okay we truck a little across the street, and Bam, the bottling begins.
Now we look a little deeper into the PR's and we find the contract with the Lee's. We find that the order for the first year is for 15-17.... 4,950 gallon containers to be shipped to Korea.
We also see that the first years contract is valued in excess of 7 million dollars.
Now let's do some math:
We will use the high end of 17 containers, and the low end of 7 million dollars
7,000,000.00 dollars divided by 17 containers = 411,764.00 per container.
Now let's look at the fact that EESO can produce 80,000 gallons a week of product in the new facility:
80,000 gallons per week divided by 4,950 gallons per container.
Wow, they could actually fill over 16 containers every week.
16 containers X 411,764.00 dollars per container = the potential to produce a whoping 6,588,224.00 dollars worth of product every week.
Now realistically, we know that the WowGreen product will be much cheaper than that, but for the sake of rebutal I just wanted to show the potential is there.
Te size of the facility is not that important when you are blending, and shipping products.
Just the other side of the coin.
