Replies to post #3063 on Alloy Steel Inc. (fka AYSI)

[littlefish]

Yep that'll hurt the comprehensive income #s for sure for AYSI. But they haven't really been getting any attention in the past when going up much.
The yen has been the place to be- nation of savers. But I don't trade currencies at all.

Wish I coulda gone to the Vegas mining show to see Arcoplate and maybe Gene. Not sure if he was there. Also see if there were any OEM North America bigs scoping out their product, especially with the large drop in Aussie dollar so Arcoplate gets cheaper for US buyers.
CAT had used their wear plate previously on their dozer blade back in 2004 so they must be aware of the product on some level. If the company can show off 2 mills instead of just one, it MIGHT help set them up for more supply-type contracts (especially to possible OEMs) of recurring nature instead of more one and done stuff.
When you only have one mill, it is probably pretty hard to convince a large company like CAT to say 'ya we'll start offering them on our products'.

[littlefish]

The big thing to watch now is:

the company is finally bringing in cash and making money.

The 2nd mill will spend a good chunk of it but once completed will likely be bank debt free and no dilution. Hopefully they have just enough cash left over to be able to handle the large orders like FMG's where a big chunk of cash will end up getting parked into Accts Receivs for a Q until collected.

Can they expand 2nd mill to full capacity now that they finally have the chance to grow from internal cash?

Can they get another say $1.5 mill cash to allow them the room to take on bigger orders and not have to borrow or to balance accts payable with ARs to avoid that potential bottleneck on cash short term?

Consideirng they had high raw materials and finished goods last Q, I'm hoping to see the cash increase next Q from drops in those areas or see ARs jump for one Q (maybe the FMG order) and then see the cash build. Then look for them to start working on potential bigger orders.