Winning Brands Corporation (WNBD)

[just_an_ant]

It's doesn't appear that it's a "we can't", but what would be the "cost".

Obviously the timing of this "new buyer" for Walmart Canada is not very timely lol

There are so many dynamics in business that a lot of things can happen (good and bad) and that is why it's not a good idea in business to rely on one or two particular retailers from primary source of income.

If I was to guess I'd say Walmart Canada represented less then 10% of revenues in Canada. That would put them at around $50,000 in annual sales or $12,500 a quarter.

I'm not as concerned about this miss revenues as much as folks seemed bent on this retailer being the "be all, end all" of retailers.

Walmart is a beast. Seems we made customers or had customers shop there and buy WC. Those customers will find WC elsewhere, so I don't feel present sales will be hurt that much in Canada.

I think existing shareholder egos will be more damaged then WNBD operations relative to Canada.

We can be confident in landing US NAs imo because

1) we still have national banners in Canada (Wally not only one with its 320 or so stores)
2) Lancaster is bigger then wally canada in my eyes relative to quarterly sales with its reach to 10,000+ stores that continues to grow that carry WC imo
3) we have an active DRTV campaign
4) we have Fantus (Mr-WD 40) with plethora of national experience
5) we have Udell with plethora of ties to national accounts
6) we may win "retailers/distributors" over by not bending/breaking to the Walmart demands; a fear of many is that soon after they take product, they will be undercut by a deal with a bigger or larger retailer (ala the biggest and baddest Walmart).

I don't know the particulars of the Walmart Canada situation, but there is potential for change in some capacity. It imo would not be wise for each to hold their ground without talking/discussing and ultimately reaching a compromise. Walmart Canada doesn't need WC, nor does WNBD need Walmart Canada now in my opinion; but mutually it would be nice for each to work together for the end consumer (because seems to have viable and growing sales) imo. That may not be possible at this juncture because of changes at Walmart Canada and potential operational changes they are making in the paint department (aka..reductions), but maybe another department will want to take on the product for themselves since WC has so many uses (a great flexibility to allow for it to land in multiple sectors). Who knows exactly how it will shake out over the coming months in Canada.

Maybe we can get Lowes Canada, Sears Canada, or some large canadian grocery chain to help fill the potential gap if one develops there with Wally. In the meantime with London Drugs, Hasty Market, they've grown their store count in Canada approximately 20% since end of October 2009

Sure we will all stay tuned.