Value Microcaps Motherboard

[10 bagger]

CCNI $0.37.. is a stock that I made a two sided market in for almost 2 years,, It was as now range bound.. It's profit margins never materialised and stock always appeared in size w/o any rhime or reason.. It trades like a constant stock distribution is going on..

It's business model is flawed as temp help is mostly job or area oriented with natural disasters being it's main opportunity for revs.. The problem is that it's worker base is usually the unemployable working for Min wage that doesn't move out of thier local comfort zone of church and welfare safety nets..

It's not only a bad investment but one that has no business plan that may possibly work.. CCNI has an accumulated Def. of $49,973.00 and earnings for the latest period were almost entirely created by a reduction of SGA.. New regulations in workman's comp will eat into thier profit margins with each and every increase which do not inclue the ever changing employer dictates of OBAMA CARE.. There is lways a possibility of CCNI trading higher because of of the way it trades just before the large blocks appear but that is caused by market distortion,, not the value of CCNI stock.. hank

Thirteen Weeks Ended September 27, 2013

Summary of Operations: Revenue for the thirteen weeks ended September 27, 2013 was $25.9 million, a decrease of approximately $2.5 million, or 9.6%, when compared to the third quarter of 2012. This decrease in revenue is related to the winding down of contracts ran through our wholly owned subsidiary, Disaster Recovery Services, Inc., a change in organizational structure and an increased focus maximizing income from operations by more effectively controlling our cost of staffing services and operating expenses.

Cost of Staffing Services: Cost of staffing services was 74.2% and 74.2% of revenue for the thirteen weeks ended September 27, 2013 and September 28, 2012, respectively. Cost of services decreased largely due to a decrease in our per diem expense as we were engaged in less disaster work in 2013 than 2012 and a decrease in other costs of goods, materials and equipment rental related to contract work we were engaged in during 2012. This was offset by an increase in workers’ compensation expense and a slight increase in wages paid to our temporary employees (Field Team Members) and the related payroll taxes.

Workers' compensation expense was 5.3% and 4.3% of revenue for the thirteen weeks ended September 27, 2013 and September 28, 2012, respectively. This increase is attributable to an increase in our claims liability as estimated by our actuary.

Selling, General and Administrative Expenses (“SG&A”): SG&A expenses were 17.0% and 22.1% of revenue for the thirteen weeks ended September 27, 2013 and September 28, 2012, respectively. This decrease is related to a change in our organizational structure, large recoveries of accounts receivable previously written off, and a reduction in travel and travel related expenses.

I own DRAD,, not a large position.... hank.