Total Apparel Group (fka TLAG)

[benjo]

Why invest in TLAG?

There are many reasons. You may start reading, or you may scroll to the bottom for my predictions and summary.

Let's begin with their mission statement, as shown on the company's website (tapginc.com):

"To expand our current market position in the branded apparel, footwear and accessories sectors, focusing on the lifestyle, active-wear and sportswear categories, by building a collection of market-leading national and international registered trademarks through joint ventures, master licensing/distribution agreements and acquisitions. The goal of the organization is to increase the value of its trademarks by expanding the branded products market positions through an internal sales force, a network of strong licensees, distributors and Company-owned and operated retail outlets."

But what is Total Apparel Group? From the "Investor relations" section on their website:

"Founded in 2006 and with offices in New York and L.A., Total Apparel Group, Inc. (“TAG”) is a master distributor and licensee of market-leading international registered trademarks in the branded apparel, footwear and accessories sectors."

Big deal. There are plenty of apparel, footwear, and accessories distributors out there. What sets TLAG apart?

Have you ever heard of FIFA? FIFA is the governing body of soccer - - the world's biggest, most popular sport. From the TLAG website:

"TAG recently leapt to global prominence with its selection as the official U.S. Master Distributor of FIFA™ and FIFA World Cup™ Licensed Product. For the first time in its 104-year history, FIFA – governing body of soccer, the world’s most popular sport – is launching an official collection of merchandise. And worldwide Master Licensee Global Brands Group has appointed TAG as its official ambassador to the U.S., in the year leading up to the predictably lucrative 2010 World Cup."

Think it's a scam? Think it's bogus? Do you need extra links? That's fine! Here is a link from the FIFA.com website (www.fifa.com/aboutfifa/marketing/marketing/licensing/events.html):

"The 2010 FIFA World Cup ™ Event Licensing Programme is being handled by FIFA's exclusive Licensing Representative, Global Brands Group. Global Brands Group plays a key role in the sales process by identifying and negotiating with suitable potential licensees. They are also essential in the servicing process by monitoring licensees' promotional and sales activities as well as approving the use of the Official Event Marks on Official Licensed Products.

Global Brands Group also acts as FIFA's sole and exclusive Retail Licensing Representative for the 2010 FIFA World Cupä Official Store worldwide operations. These 2010 FIFA World Cup Official Stores sell the Official Licensed Products sourced through the appointed Licensees."

Whoa whoa whoa, I thought you said TLAG was the master distributor? This clearly states that Global Brands Group is the worldwide master distributor for FIFA.

Global Brands Group IS the worldwide distributor for FIFA, and they've appointed TLAG as the master distributor for the United States, Caribbean, AND Puerto Rico. Here's your proof: www.globalbrandsgroup.com/en/properties/fifadist.html

Okay, that's great. What else does the company have to offer?
I'm glad you asked! Ask any soccer playing friend of yours if they've ever heard of - - or better yet, if they've ever WORN the popular soccer attire brand known as KAPPA. Kappa is one of the biggest soccer brands in the world, and TLAG is the U.S. and Canadian master licensee for the Kappa AND the Robe Di Kappa (their "casual" line) brands. Here's your link: www.teaminsightmag.com/news.php?id=233


Let's move on.
Did you know that the WORLD CUP is this year? In June, as a matter of fact. Who is responsible for the World Cup? FIFA is. People all over the world will surely be buying jerseys, shoes, hats, and so on to support their favorite teams.
But where will American soccer fans be able to purchase their teams' apparel? How about Walmart?
http://investing.businessweek.com/research/stocks/private/snapshot.asp?privcapId=34971674

"Wal-Mart Stores Inc. announced that it will collaborate with FIFA's exclusive worldwide master licensee, Global Brands Group Pte. Limited to operate 2010 FIFA World Cup(TM) Official Event Stores in nearly all of its retail markets around the world. The company will feature FIFA event branded shops inside select stores that will offer exclusive FIFA World Cup(TM) official licensed products and host special events leading up to the games."

Do you remember who the master distributor is for the USA? That's right. TLAG is.

Bear in mind that the World Cup is still months away, and TLAG has already posted positive revenue (see the other sticky on their Q4 earnings).









Okay, so here are my predictions, and my reasons behind them:

-In the coming weeks with the expected positive press releases regarding revenue, more investors will catch wind of what is going on with TLAG. As I'm sure many of you are familiar, in the Pinksheets world, press releases are EVERYTHING. on top of that, legitimate companies (a la TLAG) are even better...a diamond in the rough.

-One such positive PR is TLAG's intentions of being upgraded from a "yield" sign on Pinksheets.com to a fully reporting OCTBB company. I know, you've heard it before - - "they're going to upgrade to the OCTBB!" The difference is that TLAG is a LEGITIMATE COMPANY with LEGITIMATE POTENTIAL.

-People will surely see this immense potential for "quick profits" in the coming months, with the hype of the impending World Cup, and all of the positive PR we'll be seeing.

-In the coming weeks, I personally predict that the positive PR alone may boost us to the .05-.10 range. But, most likely a shoot up to .07 and then a correction to around .04-.05.

-From there, a steady stream of more positive PR will likely come out as we near the World Cup. This will cause us to go up to who KNOWS where. I'm going to modestly guess around .15-.20.

-Remember that all the penny stock newsletters and websites will also be hopping on board, and pumping the HELL out of this stock for some time.

Further, let's focus on the company itself. after personally being stung by certain penny stock scams (SKGO), I've learned a TON about the legitimacy of most of these "companies". The one major red flag for me was GOD AWFUL web site designs, chock full of elementary graphic design and simple grammatical errors. No legitimate/professional company would allow themselves to be presented in this way.

Also, an inability to research a company's board of directors is another bad sign. If you can't find anything out about the people running the company, you're risking your money.

A simple research technique is to simply Google the stock symbol/company name along with the word "scam". I Googled: "TLAG scam" "TAG scam" "total apparel group scam" and the like.

The only thing I found (which is responsible for the sudden price drop late last year) is a scam involving a third party selling TLAG's stocks overseas. I panicked, and promptly emailed Justin Davis (TLAG's investor relations representative) about it. here was his response:

"There have been a number of firms selling valid TAG shares in the UK and Europe with whom TAG has no relationship and about whom the Company knows nothing. Odd, I know, but the Company undertook a small capital raise abroad and placed legitimate shares with a third party on the Continent. Apparently, that third party subcontracted selling duties to other firms, some of whom have turned out to be not entirely above board. As soon as the Company found out about certain groups’ actions (through investors, not through direct contact), they instructed the third party to sever those relationships in question. So unfortunately TAG, seeking only to legally sell shares in their Company to European investors, has been linked to such groups. They have since terminated that effort and remain steadfast in their clear independence from and ignorance of these groups’ actions. But as you know, for many investors rumor and perception is more important than fact – a battle we have been fighting for some time but that is hopefully winding down."

So, given all of this that I have learned about Pinksheets companies, I did what everyone calls "due diligence".

I Googled the CEO, and every single member of the board of directors. everything checks out. I implore you to do the same. Not only did I simply Google the names of each of the members, but I once again went a step further and tacked on the word "scam" to each person's names. nothing. "Don Jones", the chairman, DID have some legal issues involving some major scams - - but it wasn't the same Don Jones!!! What a sigh of relief. And his story checks out: over 25 years experience in the garment industry.

Next, I of course analyze the website and its legitimacy.

It's highly professional. I work in graphic design and I can vouch for its legitimacy. You don't even need to work in my field to see for yourself. Compare the website of TLAG to literally ANY and ALL other Pinksheets stocks. It's really a pity how many people are scammed by these companies, thinking they're investing in legitimate businesses. A website speaks volumes about a company.

Presentation is everything.

Also, we all know that there are plenty of "fluff PR's". Go ahead and try to check out the claims made by other Pinksheets companies when they post their PR's. All you'll find when you Google them is the same press release, put out by the same people.

...

Not with TLAG. Every single one of their recent claims has dozens of other REPUTABLE sources stating the same information.


In summation:

Hype and positive PR in the coming weeks will garner much needed attention from other potential investors (both short and long term - - we will see some pretty crazy daily highs and lows as well because of the "flippers" that will come and go), and the PPS will dramatically increase as a result.

Further hype, the OTCBB upgrade, audited financials, and MORE investors will push us even higher in PPS as we get closer and closer to the World Cup.

We've all seen how some stocks may rise 1000% in a single DAY based off of NOTHING in the Pinksheets world.

...

So, what's to stop a completely legitimate company such as TLAG to do similar, if not the same, over the course of a few more months?