China MediaExpress Holdings, Inc. (fka CCME)

[chensiona]

I'm sorry but I think that is expecting far too much of any company. I don't think there is a single small cap company anywhere in the world that gives 100% of cash flow as a dividend. Any company that did that would be severely limiting its future growth prospects. There is no reason in the world that the company should be paying a 2-3 annual dividend.

All these allegations of fraud have gotten way out of hand to the extent where unreasonable demands are being put on the company. CCME has a plan for the future, and they shared a part of what they plan with SWITOW, I have no doubt there is more. Once their agreement with the MOT expires they will have competitors try to move in on their market, and they need money to be able to compete with the likes of FMCN.

When the company went public, it was another market entirely and everyone thought the markets wouldn't recover for a long time. They wanted to make sure they could capture as much of the market as possible and being listed gave them another option in case they needed it. That's one of the reasons they were in talks with Starr months before.

They haven't needed to do any public offerings because they are very profitable and instead of being happy to find such a gem your cautious because they should give us all the profits? It just doesn't work like that. How it works is if they were a fraud we would have already had 2-3 dillutions with pr reports every 3 months saying they grew their bus network by 5-10k buses.

Instead we got no pumps from the company, only facts and conservative estimates. The fraud debate will be settled once the 10K comes out and anyone who doesn't believe the numbers at that point won't ever believe.

That's one reason I'm cautious on the name. If the story is fully legit, then there is just no reason why it shouldn't be paying a 2.00 to 3.00 annual dividend right now.