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Re: jay_lim post# 5848

Friday, 05/06/2011 12:24:28 PM

Friday, May 06, 2011 12:24:28 PM

Post# of 163718

There will be no Q1 earnings from the flower business, which is heavily seasonal.

However, there will be a large upside relative to guidance for the flower business in Q3 and Q4, if weather permits anything to close to capacity crop.

Fisheries and cattle revenues will also show vary fast ramp throughout the year. Recall that guidance and verbiage called for strong growth in the second half.

Basically, they are replacing dairy revenues from day one, and have traded the established slower growing dairy business to fund $31M of development in the remaining faster growing, franchise model businesses.

This will result in a dramatically better balance sheet right away; little or no sacrifice on YoY revenues for the first half; and huge, huge YoY growth for the cattle and fish businesses in 2011 second half and 2012 and 2013, when they are expected to reach a critical mass sufficient to spin out to Asian public markets.

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