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Ten reasons to look at Mobile Star (MBST)

Worth keeping on your radar... news is coming soon. I did call FRHV months before it's ridiculous run up and this one has far more potential...

1) Memorandum of Understanding with Apple Industries
Preliminary distribution agreement with a company that has 45 years industry experience. Apple is one of the largest distributers in the vending business, and currently has 3,000 photo vending machines in the United States. Comprehensive agreement and details of the relationship to be announced.

2) Revenue projections and return on investment (ROI)
Apple plans on launching 1,000 units the first twelve months, beginning in the third quarter of 2010. MBST estimates $30K in annual gross revenue for each machine. ROI was originally forecasted in the range of 12-15 months, but has been conservatively upgraded to 9 months. Year one ROI projected at 34%, year two ROI projected at 78%.

3) Technology and development
It took CEO Elbaz three years to perfect the technology. The Karaoke machine is a recording and engineering marvel. No other product of its kind exists in this business. Elbaz has patents pending for this technology in both the United States and the European Union. Look for additional technology to be added, such as TV equipment, to utilize Internet and connectivity purposes. Elbaz has been asked how the machines will be built. He has only referenced they will be made in the US. All other information is confidential.

4) Target markets
For only five dollars, you get to sing and record your favorite song. A CD recording is generated with each purchase made. Shopping centers, amusement parks, theaters, casino's, restaurants, pubs, and tourist attractions will be targted. Approximately 40,000 pubs and bars across the country have a jukebox.

5) CEO Elbaz
57 years old, successful entrepreneur with 20 years experience in the Hi-Tech industry. Founded New Media Communications / Harmonic Data Systems, grew it to 15 employees and sold the business for $17 million. Elbaz also worked at Digital in Israel (1989-1995) and Cosmic Ltd (1980-1988).

6) ASCAP - The American Society of Composers, Authors, and Publishers
To avoid copyright infringements, Elbaz has successfully worked with ASCAP. Each artist will be paid a rate for each CD that is produced. This has all been accomplished up front, prior to the roll out of the product to the market place. Each Karaoke booth will have appoximately 1,000 songs to choose from with varying types of music.

7) Pilot Program
Success at Westchester Amusement Center, which took place in December 2009 and January 2010. Consumer feedback and usage above expectations.

8) Fully reporting company on the OTCBB, low float.
70 million shares outstanding, only 14 million in the float. Current asking price of .007 makes this a severely under valued stock. No evidence of dilution of the stock. 56 million shares are held internally by the company.

9) Foreign markets
Elbaz was asked about the broad appeal of such a device, and has advised that foreign markets will be analyzed. Japan and Germany are two such markets that are wild about Karaoke.

10) MBST developing models to drive traffic to vending machines
Marketing models, and preliminary discussions with two major media outlets to access millions of potential consumers is being developed. MBST is interested in developing long-term relationships with multiple marketing and media organizations and is considering several models of cooperation and joint ventures.