I appreciate the post Buff I think you have some fair critiques, but some of these I disagree with. I still think Glenn has this company moving in the right direction and support him 100%, so I would like to go through these 1-by-1.
1. Misjudging the Air Cargo Market fair critique, one of the biggest oversights I think we have made, that said we have made sales in this area, just not in the magnitude that was expected.
2. Misjudging the competitions ability to surpress company sales I don't necessarily agree with this, we never thought we were going to capture the entire market, even our goal now is 1/3 of the market, which I think is a fairly conservative estimate over the long haul. How about the fact that we have surpressed their sales? Where are all these big sales to Morpho/Smiths? Large buyers seem to be on sidelines until qualification process is finalized.
3. Openly taunting the competition See no problem with this, we are doing the same thing they are doing to us. Should he just sit back and not publically note the differences b/w ours and theirs products and why ours are superior?
4. Misjudging Air Cargo Appproval timeline Fair critique, but we got the approval under new standards which is more important...If a baseball manager says their team will make the playoffs by their 140th game and they don't make it until the 150th, nobody cares because they made the playoffs
5. Misjudging Air Cargo Qualification timeline See #4
6. Misjudging EBITDA positve quarters I agree with you on this one, shouldn't have made that claim unless they were sure they would hit that
7. Misjudging yearly revenue numbers See #6
8. Misjudging Checkpoint Qualification timeline Same sentiment as #4, but waiting to see if we "make the playoffs"
9. Poor Sales understandable and we all wish there were more, but big TSA order changes everything, I think its coming, so current sales don't worry me too much...if you don't think TSA is coming, then I would completely understand why there is a huge concern over current sales
10. Will not Purchase Shares in the company on the open Market. we've discussed this before, I have no issue with this, won't spend more time on this
11. Opening a New Manufacturing Plant prematurely. probably the statement I disagree with the most, we opened not just so we could support big orders, but more importantly so we could show that we can support big orders. There is a reason TSA & CATSA visited the plant, they needed to see if we could support big orders. You don't wait til they are ready to order to make the move
12. Overstaffing for the current sales Again, this is similar to #11, are we overstaffed for current sales, YES...but we have set ourselves up to be ready once we get the green light of TSA checkpoint. You don't wait til you reach that qualification, you get your staff trained and with a little field experience, so they are ready to go when the gun goes off
13. A robust sales team that cannot sell approved/qualified equipment at a rate to support expenses. this is basically restating your problem on #12, so you can see my response there
14. Never turning a profit in the five years as CEO its funny you say this, but you blasted me for showing that the SP has appreciated over 400% during Glenns last 5 years as CEO. We always knew it was going to be awhile until profitability.
15. Continued Stock price erosion after some of the company's biggest internal milestones that were suppose to increase shareholder value. fair complaint, not sure this is Glenns fault, but again if you are going to ding him for stock price erosion, you have to give him credit for the stock price appreciation he has created
16. Dilution of Share Holder Value by continuing to borrow money from DMRJ. do not understand this complaint, what would you rather do...is there a magic lendor that was going to keep us afloat w/ no vig? Should we just shut down the company? Please tell me another solution that could have taken place?
17. 43 Million in debt with quarterly sales around 3M, with a break even of around 6 Million. yup, thats where we stand...its a high-risk OTC play, I am prepared to lose it all, but I dont think thats where we are going. just my thoughts!
