Winning Brands Corporation (WNBD)

[hopetocashin]

An open letter to Eric:

Dear Eric,

I don’t know how much of this you will be able to answer from a legal or tactical point of view, but I am sure I speak for many when I voice my questions and concerns.

The pps has continued to plummet over the past several months and from a shareholders point of view it appears that this trend will only continue until Winning Brands substantially increases revenue, or there is a radical shift in the way the company is financed. It appears that dilution is running rampant and that it will only get worse as the pps continues to erode. Do you see anything in the near future that will stop or at least begin to reverse this trend? I know there is a huge amount of potential in this company, but will it be actualized before the necessity for an increase in authorized shares or a reverse split becomes inevitable? I know your preference is to do neither, but it appears to the shareholder, who is not privy to what you are, that this is the direction we are rapidly heading. How much longer, at this rate, can we continue before your hand is forced to choose the “lesser of two evils”?

I know, and believe, that you do not want to sacrifice the initial shareholders, but at some point won’t you have to choose the continued success of Winning Brands over the shareholders? Despite your best efforts, which are monumental, how long do we have – given the current rate of dilution – before we hear something like: “I am sorry; I have tried my best, but despite my best efforts, it has become necessary to …”?

In a recent blog you said:

It is, in my opinion, more likely that the firm will overcome its current challenges with the same positive determination that it applied to its difficult beginings.

Most shareholders do not question Winning Brands potential, but from our point of view – watching the pps fall – wonder what the source of your optimism is. Do you firmly believe that sufficient revenue or more favorable financing will materialize soon enough to save the shareholder from an increase in A/S or a reverse split?

Respectfully,

A Concerned Shareholder