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Message: Larscot. Back to the Challenge

Larscot. Back to the Challenge

posted on Jun 19, 2007 09:06PM

Good Evening: I apologize but Agoracom cut me off at the knees and I could no longer communicate.

I've listed your reply and question below:

Answer me...do YOU want to approach the board and lobby for a 40/1 reverse split to get on NAS and get institutional interest?


Think that will generate some shareholder unity?


(hint - it will be in the wrong direction)


Regards

My answer to that is what your hint suggests. No. I have had poor results with this reverse split personally and I believe it is a bad deal for the shareholder. This is a technique I have been stuck with in 2 biotech trades (ctic, ljpc) and one that NT (my worst stock pick) and am aware of jdsu, ciena (I guess OK) among others have employed and is a flop as far as I'm concerned.

What I suggest is the sequential approach that I mentioned initally (1-4). Initially (a week or so ago), I contemplated the worst scenario of what might happen if we were blown away by the Markman decision. Fortunately that never occured. Licensures should inevitably cause the stock to elevate and EPS to rise. This is imperative since we seem to be winning the battle.

Results of this will allow the CEO to rapidly advance his strategy which may include the opportunity for explosive growth not only through acquisition but also other tools that the CEO possesses including his background, training, collaboration, etc. that he, the lone gunslinger can bring to the party presently.

As go horns recommended NASDAQ would be the next target. What will happen, I am hoping a dramatic increase in earnings per share to say annually .30 to .35 per share. With improved buying and a reasonable PE of 20, their you have it $6 -$7 per share. Nice and tidy wouldn't you say Larscot? Well the best laid plans.... I really do believe this is possible. If we do half as well that still might be all that is required.

Once on the Nasdaq, the institutions, mutual funds, hedge funds etc. will take interest immediately. They will dissect our little corporation from front to rear with a fine tooth comb. Goldman Saks et al will render their verdict and we will be on the gravy train as long as we can produce.

I know what I have presented is simplistic but I spent a lot of time in the Armed Forces and we like to keep it simple. However I realize that there are numerous, possibly close to infinite holes in the story and this is what I'm trying to use as a way to assist ourcompany of one (1) full time employee (and an advisory Board of Directors) dedicated to this primary mission to present ideas with no feedback expected. Sweeney(Finance) doesn't count as he has his hands full with complying with the SEC and the auditors.

I need more input. I have presented what I know (very little) and need help filling in the blanks. I appreciate your assistance in this regard as well as the rest of the board. Thanks and I apologize not answering sooner but agoracom told me I had said enough for one day.

Regards, Oscar

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