BLT - Blis Technologies

[Bobby_Fischer]

Have been chewing this over myself. Far more informative than the full year announcement to the market - hard to understand why they kept all this detail quiet - too busy geting on with the job, hopefully.

Very understated operations report - a deliberate contrast, I suspect, to previous years efforts which have been long on promises and short on delivery. Quoting from the report:

"BLIS Technologies received a production scale order for BLIS K12 which will likely launch in the US retail market in August 2008"

Something that in times past would have prompted a separate announcement - here it is barely a footnote.

Seems to be plently going on and a real sense of forward momentum. This report is one of the most positive I have seen ...

Ironically the SP is near all time lows.

[Oman]

Interesting bits in the report ...Quite a bit to chew on. Sounds promising to me.

Agreed, but I'm still chewing on the auditor's tag. It was stated twice that BLT has a sword hanging over them ....Cash to pay the bills! If they boost the sales and hold the promised course it should be okay ...but if not they're finished.

[simla]

Good point Oman. Blis is now doing everything that we've been waiting for. So if it does not work, if Blis really is not a very saleable product, then there really isn't anything else left to try. And the world collapsing is not exactly good timing. But on the other hand, actual cash sales of product last year, even without the neutraceutical route, were pretty healthy. With a bit of head wind, those sales might reach a million pa this year, which is probably enough for a company to get by on for a while failing all else.

Presume we will learn a little more at the AGM. I won't be there, so post anything interesting please anyone who is there. Has anyone seen anything of the promised relaunch in NZ this month?

[Impatient]

Good point Oman. Blis is now doing everything that we've been waiting for. So if it does not work, if Blis really is not a very saleable product, then there really isn't anything else left to try.

But that would assume that we actually had a capable management team and board at Blis; if this product/company fails, don't blame the product or the economy - the product has amazing potential, it IS saleable. If it fails, it's entirely on the management's head, as other companies suffer the same economic conditions and startup difficulties and still prosper.

Don't get me wrong, I think it's great that from virtually zero activity in the 'pre-Barry' era we now have at least 'something' happening there, even though Barry & Co still cost us more than they earn us - that cannot be profitable business model, can it?

I think one thing needs to be clear here - first and foremost, Barry & Co see this company as a self-service money bank and take care of THEIR salaries; if there are any crumbs left for us shareholders, we'll get them. Yay.

[simla]

Not sure if I can quite see it that way, Impatient! You can hardly expect them to work for years without a salary surely. We shareholders may not quite qualify for charitable status methinks!

[Impatient]

Oh no, simla, don't misunderstand me. Of course I'm not expecting anybody to work for free; but whether the equivalent of $200k+ is appropriate for the CEO of a company that is haemorrhaging money is another question.

Ultimately we as shareholders are owed a decent return on investment, and with my money - our money as investors - getting gobbled up by staff costs, I see that payback moving further and further into the future....and perhaps never materialise if the company will have been bled dry. I think you get my drift.

[Impatient]

...and let's not forget that they have had a FANTASTIC range of products for years (!) that they have been incapable of turning into a profit. I think that's what bugs myself and many other BLIS shareholders (especially the ones that got in early, unfortunately for them) the most. I'd assume you're not one of them as it would be perfectly natural to become...impatient.

[simla]

Oh yes, I totally get the bit about getting in early. No, I wasn't there in those heady days. Really hard to say what the answer is about that. If nobody ever got in early, none of these companies would ever exist. Nevertheless, I still sense that (long years later) Blis is going to pay even that original investment back well. It's just a race now between Blis' rise and the world's collapse. If things were normal now, I think we would be very confident indeed about Blis' future. It is a bit like an Indiana Jones movie now - will our hero escape triumphant or will the mine collapse first?

[Oman]

This is the link to the Jack Klein marketing team in USA. They look pretty professional to me. If Barry is harnessing these sorts of people to drive BLT forward things may work out okay.

http://www.jawassociates.com/our_team.html

On another point the owner's equity in the accounts is padded. 1.1m of the 2.1m owner's equity is a nebulous tax credit that may never eventuate, and the 550k capitalisation derived from patents goodwill which again has no tangible value until someone buys in.

So we have a bit of wool over the eyes there but we also have some positive movements in the USA, a possible move in Ireland and some much improved product packaging in NZ.

On balance I think the SP is a tad on the low side ...not that anyone is buying any anyway.

I don't expect any cornerstone shareholder in the present climate. Maybe after they pass the break-even point. It looks like the Jack Klein input might be the tipping point for that.

The other guy, Grant Washington-Smith, may contribute more with the skin care products in the pipeline.

[Oman]

Do I understand that today the 28th the announcement is that the annual meeting is to be held 31st July and that proxy forms must be faxed by 11am tomorrow 29th?

The reason …the cynic might suggest is that somebody is standing for director who happens to be talking sense and asking all those questions that have appeared on this forum over the past year or so.

Do we now see the true colors of the BLT Board? They don’t want us to vote for change …do I smell a comfortable conservative Board with fascist leanings?

I hope everyone who attends the meeting votes for the man they DON’T want. It’s time to shake these people up a bit!