Replies to post #21794 on Bourque Industries Inc (BORK)

[Scorpitron]

kbbccandyman, I like the ideas you've mentioned, including the opportunity for longs in B.I. to somehow trade/buy into a "clean" new entity that somehow gets hold of Kryron. I also agree with the need for further testing, which is where the Quarterly was particularly disappointing given that there was not even a mention of such at all.

Given that JB has been heard on multiple occasions not to give a damn about shareholders, I wonder if there's any way to make a case that he planned to--essentially--defraud shareholders from the get-go? Might there be some avenue via the SEC to remove his control from B.I. and Kryron and put them into shareholders' hands? I don't know.

I think probably all of us invested/interested in B.I. saw the great product potential of Kryron, but got hoodwinked by the jerk in charge. That's been a hard lesson to learn--it's not necessarily up to a great product to make a company successful, it's how that company and product are managed. You see people opening new pizza restaurants all the time and doing great because they manage them well, while others fail--even in perfect locations--because their management is shit. Just like JB.

If you could ask the UA guys this, I'd be interested to hear their take:

1. In their view, what might it take for shareholders to take control of the company away from JB & crew and get it into the hands of people who know and care about how to manage a company? (and would UA be interested in such?)

2. Would a second round of testing (presumably with Mr. Reiger) be enough to, say, differentiate the Kryron heat-sink application from the armor application enough that the heat sink mix/process could be licensed (to someone like JBT) without risk of violating ITAR restrictions? (the point being to start getting an income ASAP for the least amount of effort/inventory on the company side)

Thanks.

[Flatcat]

It's he car and the kid.

Give the kid his due. He invented a car that passed the initial inspection for racing, will do 225 on the turns and 315 in the stretch. Many witnessed the demonstrations but no team wants to buy one. Why?

They don't trust the kid or the car! They don't trust that he can build more than one because he didn't invent it with engineering discipline, meticulous documentation and quality control processes. And, other drivers refuse to let the kid drive in a real race because of his immature past behavior and lack of trust that the car will continue to perform in a safe manner.

Nobody has been given any reason to trust JB, BI, or their product. Ultra uses ceramic plates for which they certainly don't give up all of the engineering documentation but they do get complete specifications and performance data and they can rely on Ceradyne or other suppliers to provide consistent quality controlled products. The processes of production are just as important as the product itself because they are a major part of the product. Even a passive application, such as heat sinks, is a non-starter. While the heat sinks made this month may work great there is no guarantee that next months production will work at all. Therefore no trust in the supplier.

After several years of owning this stock there have not been any significant trust building activities. BI cannot be trusted to manage their stock, their finances, or their product and the former CEO is in jail. In any successful company risk is always a concern. No company is going to add risk to their product by purchasing materials from a high risk supplier. Risk must be identified, managed, and REDUCED. I see no effort on this subject.

You are right about the necessity of turning the business over to a center of trust (another company) that understands the elements of quality controlled engineering and production. The members of the BOD have the power to make decisions but an unexplained reluctance to do so. Hiding behind loyalty to JB is no excuse.

My conclusion at this point is that the existing BOD doesn't know what to do and therefore does nothing. They apparently don't understand the term "fiduciary responsibility" either. The opportunities are certainly there but are slowly fading away.

My suggestion, which will fall on deaf ears, is to pick one product, armor, and find an established company to take it forward. Make the decision and move on. 10% of something is better than 100% of nothing.

Candyman your telephone conversation just underscores the situation. No matter how many conversations you might have with prospective users of Kryron, it won't help if the BOD doesn't make some smart business decisions soon.

Come on BOD - go to SCORE and get the executive help you need. Those retired executives have track records that can help BI be successful.

[gotmilk]

"... conversation with Ultra Armoring ... after about 20 minutes they got called into a meeting, but wanted my cell phone # so they could continue the conversation. I think they may have a small amount of interest and would like to hear from A BORK investor point of view."

Question: Could the Kryron patents be made available to a armor company like Ultra Armoring, not a license deal, but allowing them restricted ownership of the Kryron patents for armor usage, and we get no cash for the sale since they will do all the stuff needed to validate and market the Kryron armor for sale as their product, so we get cash at the end of sales. Ultra Armoring would have exclusive rights to all Kryron armor sales, private, law enforcement and government foreign and domestic. This means they do all the stuff needed, as they required us to do and we can't, but they do it and reap the revenues down the road selling their armor based on Kryron, while we obtain a percentage of any revenue they acquire.

doug