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Re: None

Thursday, 01/21/2010 11:35:23 AM

Thursday, January 21, 2010 11:35:23 AM

Post# of 9
Question: Why did ex-CEO Jack Brucker exercise his Warrants (about 350,000 shares) in November and then step down from his position and leave the company earlier this month? Could be that he had no-idea he would be leaving. Of course, that makes no difference to the IRS who will expect him to pay the taxes on the difference in Exercise Price and share price at the time he exercised them. Additionally, he had been Buying shares of the company's stock on the open market in 2009 making him a CEO that is very bullish on his company.

One thought could be that the CEO knows that the company will be acquired. He therefore knows that he has no position in the company going forward as the acquirer will eliminate his role in the acquisition of the company. Okay, suppose that is the case: would it make sense for him to exercise his warrants so that he can have them free to trade on the announcement of an acquisition? Makes sense to me! Who knows if the company will be acquired but it is interesting that Falck Danmark AS has been acquiring shares on the open market. From their website:

"Falck is a Scandinavian based organisation with business activities in most areas of Europe and on five continents. It consists of four different business areas, Assistance, Emergency, Healthcare and Training. Falck’s activities are directed at preventing accidents and disease; providing assistance in situations of emergency, accidents or need; and helping people move on with their lives after illness or accidents.

Falck is the largest privately owned ambulance company in Europe, providing ambulance services to the general public in seven countries in close collaboration with the authorities. Falck is also the largest privately operated fire fighting service in Europe with activities in six countries."

Personally, I think it is likely that Falck is going to take over the company. This is just conjecture on my part but seems likely. With Free Cash-Flow of $1.50 per share, EBITDA of $70 Million, and 24.8 Million Shares outstanding...I think the company could be worth as much as $13 per share and would tuck into Falck very nicely.