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Monday, 10/29/2012 10:57:52 AM

Monday, October 29, 2012 10:57:52 AM

Post# of 6
repost from yahoo:

A Tipping Point
By gogotron2 . Oct 29, 2012 8:00 AM . Permalink

Wanxiang has successfully negotiated with CFIUS for years. They are effectively a conglomerate of US cast-off cos. When they asked CFIUS how to buy AONE, they were told "Don't buy the Military &
Govt. product lines & allow US stockholders to participate so it will be a Chinese/US joint venture".

So they brought in JCI & gave them the Military & Govt. lines at a discount. The BK was voluntary so the 3 cos have kept control, effectively making it a prepackaged deal co-authored with the arbitrators There will be twists & turns - that's the nature of the process - and some creditors will be squeezed out because of the BK, but most creditors & stockholders should be OK.

Shorts will be hurt but there's not that many any more.

Wanx has gone from -0- to a billion dollars in revenue in one generation mostly in a commie country.
The founder is still alive & kicking & his son in law runs the US ops - be good to invest with them on general principals.

They probably will get less then 80% control but will get more then 50% & will have to produce in the MI facilities for 8 to 10 years under extremely heavy penalties, but most US cars have the "stop/start or crossover" batteries designed in the '14s & '15s as a gas saving option anyway, so that's no problem.

Most stocks sell on expectations, not book value. Most funds budget in losses as a statistical mandate in their business model. When they see a stock with a down-side of a quarter and an upside of 10 to 20 dollars, it exceeds their best expectations. Unlike individuals, they are less time long as it goes up some every year, they're in good shape as that's their business.

As long as Bk is out of the way, which it appears to be, this stock is like buying a call option with an infinite expiration date. Like the movie "The Endless Summer", this is a call option with an endless expiation date & is extremely undervalued, IMO.

Sentiment: Buy

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