Replies to post #19791 on Giggles N'''''''''''''''' Hugs Inc. (fka GIGL)

[gmoney909]

I agree mostly with what you say -I have a problem with the CEO not paying his debt -I feel he thinks he is untouchable and doesn't have to pay -I have a huge problem with that because shareholders will suffer -I also love the concept but until they start having locations popping up it could also fade away into the wind .I'm also a little worried because the video on YouTube just shows a bunch of kids coloring and balloons and adults in costumes -you need more than that -where are the video games ? They need to focus on an establishment like Chuck E. Cheese but also with the upgrades -alcohol ,food ,kid drop off and stuff like that -if they don't do that I'm not 100 percent sold on this company -it looks to me like any other restaurant except coloring books ,balloons and adults in costumes

[ThreeOneTwo]

Good points. The reason I am excited about GIGL now is that the concept is really starting to prove itself on the balance sheets. The year-over-year and Q4-over-Q4 earnings were outstanding on the 10-K. I would love to see increased cash on hand with the 10-Q, but what I will be looking at first is if the Q1-over-Q1 growth resembles the unbelievable gains seen in Q4.

Lots of dissenters like to say, "they've been talking about expansion for years, why only two stores?" This is where the slow and steady approach pays off. When GIGL management approaches mall owners today, consider the product now versus the product they had even two years ago. It's significantly better. That's how they are going to secure agreements like the LOI. Had they jumped the gun on expansion a few years ago, we'd still be paying off new stores. Now we have the opportunity for new stores to be almost immediately profitable. These guys are doing it right. Every day we wait the company is a more and more attractive option for mall owners. 10-Q should reinforce this strongly.

This being said, I think the time for expansion is here. Plan on holding this for over a year and will be looking for execution as I believe they are ready.