Value Microcaps Pick Six Lotto 14

[zenvesting]

NSOMNIYAK CHALLENGE:

AMLJ.OB: Own it....have owned it quite a while waiting for this "need to see it to believe it crowd" here to join me :) In 2005 they announced a $30M contract with Raytheon....and have finally just begun to enter the production stage of the contract last quarter and posted a healthy profit. There's two divisions to the company, one growing and profitable electronic components manufacturing business mainly for DOD clients and the second is a wild card in the early stages of developing satellite-based power grid demand response and SCADA products for major utilities. Here's a DD Post of mine about their core microwave component business:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=44186224&txt2find=mald

CCEL.OB: Don't own it now, but have in the past....and might in the future. Recently profitable stem cell banking company and a nice potential wild card with some interesting proprietary stem cell technology.

CSGH.OB: Don't own it....never have.....but have been thinking about it lately. Chinese Lithium battery materials supplier that seams pretty legit.....and is getting involved in the LiFePO4 anode material market....have lots of customer trials going on now....could be interesting.

MILL.OB: Own it. Got pumped into this oil stock early :)....and glad for it....looks like it could go pretty far from here still! It's been through a lot of changes in the past month, but by my best guess it's now a company with approximately 35 million fully diluted shares and more than $300M NPV in high quality reserves in Alaska. It seams pretty undervalued to me, but the next filing should help clear-up the details....and I suppose they need to prove they can operate it to command a higher valuation....and it looks like they've got a group that can deliver.

NHC.TO: Own it. It's a bit complicated....but it could be a multi-bagger IMO. The company owns controlling interest in Ambulatory Surgical Centers (ASCs) in Texas, it used to pay a 10 cent monthly dividend and trade at $15+, but they had a few issues with currency hedges, a billing dispute with a major insurer at one of their ASCs, and a dispute with the former CEO about it's acquisition in surgical centers from his affiliated companies. Two of three issues are resolved.....and now there's a six month timeline on the last issue.
1 - The currency hedges were closed at near break even in 9/09....and there will be no more risks taken in the currency market.
2 - The major insurer settled with them in 11/09 and signed an "in-network" contract at that ASC, which means lower reimbursement rates, but the CEO has said it will have similar margins to their Kirby ASC which has an "in network" contract with the same major insurer and has a 30% operating margin. The key is ASC involved in the dispute has been very slow the past year while this major insurer withheld business, but the major insurer's business resumed there on 12/1/09. Also, previous claims will be adjudicated with the insurer....which should give a healthy boost to the next quarterly report too :)
3 - The last issue is the arbitration with the former CEO. The arbitration was just announced and will be decided in 6 months (by July). There's about $8.3M in escrow money at stake in negotiations. The company was attending mediation sessions prior to arbitration and said it had achieved an understanding with all the issues but one, it's not hard to imagine it's the escrow distribution. This all relates to the company's purchase of it's interest in the Palladium Partnership from one of the former CEO's other companies.


WKBT.OB: Don't own it, don't even know what they do....just stole it from someone elses picks because I needed another qualifying stock at the last minute (sorry, my real job has been keeping me too busy lately).