Well, just listened to the conference call. Chip Parker was not happy, I understand his concern. I have to say Brett and I had a regular back and forth via email this summer, Brett responded to every question and input I had.
But Chip has a point, Danny and Brett own many millions of shares, if they are not getting back with a player like Chip that is not good. Chip calls in on every CC and maybe they take his interest and support for granted. The PR flow and clear vision for APNC does seem to be lacking.
In regard to the details of the CC, the FAMSA account is going to be part of the retail plans division. I originally thought it was a wholesale account and was going to offer the same thing the Rent A Centers offer. But they are going to sell something similar to the HealthDiscountNow offering and it will be catagorized in the retail plans division. Getting that into a major known retail store is exactly what they need.
The Smart Solutions Plus offering will be under the retail plans division also. So it seems they are fully attempting to use the few thousand agents who are under contract or have a relationship with the insurance marketing division, as a marketer of their new offering. I have found health insurance agents as an independent and tuff bunch, they are not about to become tele marketers for Smart Solutions Plus for $10 bucks a plan. These guys have been making a living selling BIG plans to individuals, the kinds we hear horror stories about. An agent who lands a home based business owner who needs a $1500 per month premium, is going to go kicking and screaming to a plan that commands a $50 per month charge and a small commish.
APNC HAS to keep competative offerings in the traditional health, life and supplemetal insurance, or I fear many agents will hit the road. But this is exactly why they acquired Access Plans USA, so we will see if the rubber meets the road and they are able to keep a good amount of agents selling more traditional insurance, while offering a company owned Smart Solutions Plus to offset their decline in commish from the Healthcare Bill.
I do in the end, still think they are undervalued and feel they know what they want to do, will see it work out and do not expect a big drop off in numbers, only an increase.
I still want to see a large retailer added to their wholesale or retail side of the business. Every major retailer in the USA is now offering some kind of outsourced product protection or warranty program. They know how to do it on a large scale, RAC has over 4,000 stores, adding another retailer with a few hundred or a thousand stores could be what they need for the market to believe in what they do and give them a fair valuation.
I work for Sears now, I know how much the purchase agreements are pushed at the store level, if APNC is able to land a less controversial retailer, we could see some more confidence.
