Dallas, TX 10/29/2007 3:22:21 AM
OTCPicks.com Stocks to Watch for Monday, October 29th ROTB, CGSE, PMED, HPNN, BPEV, GWTR
Our Stocks to Watch for Monday include Rotoblock Corporation (OTCBB: ROTB), Columbus Geographic Systems Ltd. (OTC: CGSE), Paradigm Medical Industries (OTCBB: PMED), HOP-ON (OTC: HPNN), Biopack Environmental Solutions (OTCBB: BPEV) and Global Water Technologies (OTC: GWTR).
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ROTOBLOCK CORP (OTCBB: ROTB)
"Up 203.64% on Friday"
Detailed Quote: http://www.otcpicks.com/quotes/ROTB.php
Rotoblock Corporation engages in the development and licensing of oscillating piston engine (OPE). It holds an option entitling to acquire the rights, title, and interest in OPE for use in driving a ducted fans, electrical charging systems, pumping systems, and helicopters. The company was founded in 2003 and is headquartered in Santa Rosa, California.
ROTB News:
October 25 - Engine Developer Rotoblock Interviewing for CEO
Rotoblock (OTCBB: ROTB), a developer of advanced engine and drive train design, announced today it has been holding interviews for the position of Chief Executive Officer and expects to announce an appointment in the coming weeks.
Officials with Rotoblock have been developing plans to commercialize the Company's patented Oscillating Piston Engine (OPE) as well as other small engine technologies. Last year the Company expanded its mission to capitalize on opportunities emerging around the world today in advanced drive train and small engine development. The key, they say, is management.
"This is an important move for Rotoblock," said Tony Collins, Vice President of Corporate Development and Technology for Rotoblock. "In this economic climate, Rotoblock has a clear opportunity in small engine development but what is needed most is progressive management. Rotoblock needs a dynamic individual with strong industry and international contacts who can devote the time required to work on the commercialization of the OPE as well as develop new opportunities."
Collins noted that the USA produces approximately 35,000,000 conventional small engines annually that are sold and used in the US alone. These numbers do not include engines used as power sources in automobiles, aircraft, construction equipment, recreational vehicles, and stationary applications as well as small engines outside the US.
COLUMBUS GEOGRAPHIC (OTC: CGSE)
"Up 11.66% on Friday"
Detailed Quote: http://www.otcpicks.com/quotes/CGSE.php
Columbus Geographic Systems Ltd. is a rising player in the field of geographic information systems (GIS) and navigation applications. The company brings advanced software capabilities to a wide range of users and devices, previously only accessible to trained professionals on dedicated devices. Its main products include:
Highly-effective off-road, outdoor GPS navigation tools, working on a full range of devices including Car PC, PDA, and Personal Navigation Devices (PND), with options for 3D imaging.
Innovative, affordable GIS tools easily used in a range of applications, including businesses, agriculture, surveys, and government agencies.
Aerial GIS applications for military and civilian aircraft operating in complex or threatening environments.
For more information, visit http://www.columbusgis.com/.
CGSE News:
October 26 - Columbus Adds New Presentation
Columbus Geographic Systems Ltd. (OTC: CGSE) updated its website with a new company presentation. This is part of the company's commitment to regularly update its shareholders on its progress. This presentation can be viewed at www.columbusgis.com/reports.asp.
October 25 - Columbus Announces Important Milestone in Vehicle Off-Road Navigation Systems: Land Rover Interested
Columbus Geographic Systems Ltd. (Pink Sheets: CGSE) announced that Land Rover has expressed strong interest in buying its new Ranger navigation software for use in its Experience Centers. This represents an important milestone in Columbus' strategy to penetrate the global market for vehicle navigation systems.
Land Rover, a division of the Ford Motor Company, is based in Gaydon, England. The company is one of the world's leading manufacturers of all-terrain and multi-purpose 4x4 vehicles for civilian and military use.
Land Rover has established a global network of Experience Centers designed to provide the ultimate off-road driving experience for driving enthusiasts. The centers offer a range of programs covering expedition driving, remote navigation, and off-road technology. These include tailor-made experiences for group events, corporate retreats, and team building initiatives.
Ranger is Columbus' cutting-edge navigation software providing location-based, Global Positioning System (GPS) mapping, navigation and information solutions for the off-road environment. Ranger works on a variety of devices including Car PC and Personal Navigation Devices (PND).
Land Rover is interested in using Ranger for drivers participating in the programs.
"Range Rover represents an important, high-profile opportunity for us," said Columbus CEO Tsvika Freidman. "We are aggressively targeting the market for vehicle navigation systems. This market is still under penetrated, with less than one-in-ten cars in North America having some kind of navigation system. Our goal is to establish Ranger as the principle off-road navigation tool for drivers around the world. We look forward to updating our shareholders on our discussions with this important client."
About Land Rover Experience Centers
The Land Rover Experience Centers offer individuals, families, groups and businesses a unique and exciting way to learn the skills necessary to tackle some of the most challenging terrain and introduce drivers to the exciting world of off-road driving.
Visit www.landroverexperience.com/experien/en/Experience/Home.htm for more information.
PARADIGM MED IND (OTCBB: PMED)
"Up 71.43% on Friday"
Detailed Quote: http://www.otcpicks.com/quotes/PMED.php
Paradigm Medical Industries, Inc. engages in the design, development, manufacture, and sale of technology surgical and diagnostic eye care products. Its diagnostic products include P55, P2200, and P2500 pachymetric analyzer; P20 and P2000 A-scan biometric ultrasound analyzer; P37, P37-II, and P2700 A/B scan ocular ultrasound diagnostic product; P40 UBM ultrasound biomicroscope; P45 UBM ultrasound biomicroscope; P60 UBM ultrasound biomicroscope; BFA ocular blood flow analyzer and disposables; CT 200 corneal topography system; LD 400 autoperimetry system; and TKS 5000 autoperimetry system. The company's products also comprise Precisionist Thirty Thousand and Photon laser, which have ocular surgery workstation with surgical equipment and disposables. Paradigm's surgical products are systems for use by ophthalmologists to perform surgical treatment procedures to remove cataracts. It markets its products through direct sales representatives, independent sales representatives, and ophthalmic product distributors in the United States, as well as through a network of dealers internationally. The company was founded in 1989 and is based in Salt Lake City, Utah.
PMED News:
Oct. 25 - Paradigm Medical Industries Outlines Plan to Achieve Profitability, Positive Cash Flow
Paradigm Medical Industries’ (OTCBB: PMED) Chief Executive Officer, Raymond Cannefax, outlined the company’s plan to achieve profitability and positive cash flow in a special report to shareholders. Following is the complete text of Mr. Cannefax’s Letter to Shareholders.
Dear Shareholder:
While 2007 results won’t be finalized for several more months, and our preliminary budgeting process has only just begun, the Company believes now is an appropriate time to communicate its progress and plans for the future.
Paradigm Medical Industries has been through turbulent times during the last few years. And much has happened in the last 20 months, since I was named Chief Executive Officer. Further, 2007 has been a year of major transition for the Company.
My message to you today is we have met many challenges and obstacles and are now poised to make substantial progress in the Company’s major goals of reaching profitability and consistent positive cash flow and enhancing shareholder value.
Hidden within the Company’s most recent quarterly financial results are several “pluses” that provide optimism for Paradigm Medical’s strategies, goals, and commitment. Specifically:
(1) We have substantially reduced the Company’s operating expenses without sacrificing quality and have improved on-time delivery. During the last five years, we have reduced the Company’s annual operating expenses by $9.5 million.
(2) We have refocused and reformulated the Company’s product portfolio into high-margin, fast-growing proprietary products. Paradigm Medical is clearly the most unique, full-service provider of Ultrasound devices to the ophthalmic industry.
(3) We have become more globally oriented with our U.S. and international regulatory-approved products. And we have already established foot prints in the fastest-growing regions of the world, namely Asia and East Europe. A major part of this success has been the establishment of partnerships with leading developers and producers of ultrasound devices like China’s MEDA Co. Ltd., and new-generation software with innovative companies like Reliacon Global (San Ramon, CA).
(4) We have resolved long-standing litigation matters without jeopardizing the Company’s financial and operational structure.
(5) We have strengthened the Company’s financial structure with the completion of several fundings, completed in 2005 and 2006, that have allowed us to upgrade our facilities and further advance our research and development programs.
(6) Organizationally, we now have a professional management team in place that is dedicated and capable of achieving the corporate strategy with a viable business model that compliments the Company’s strengths. And we have, this year, significantly upgraded our global sales and marketing efforts to allow us to move aggressively into the “growth” phase of our matrix.
Our financial results for 2007 will be relatively flat, compared with the year-ago period. Our revenues will be stable, and our operating loss will widen slightly. Clearly, that is unacceptable. Nonetheless, during a year when “uncontrollable” costs--such as higher raw material and energy bills--soared, and we incurred significant expense (some one-time) on a global launching of our new-generation P60 Ultrasound BioMicroscope (UBM), as well as considerable management time in resolving financial and legal issues, the Company made substantial progress toward reaching some short-term and intermediate-term goals.
Since 2002, the Company has reduced its operating expense by $9.5 million. In 2007, such expense will be somewhat higher than a year ago. However, a good part of the increase reflects higher costs associated with launching the P60 (including costs in receiving U.S. and international regulatory approvals) and dramatically expanding and repositioning marketing and distribution channels.
Since 2002, the Company improved its gross profit margin from 21.6% to more than 50%. Again, our margin will be somewhat lower in 2007 than a year ago. The major factor in the decline reflects lower revenues—as we reposition our portfolio toward higher-margin, proprietary products—and higher fixed and variable costs (especially energy).
The results—and rewards—for our actions are expected to be more visible in 2008 and beyond.
Specifically, the Company will be entering a fast-track path in revenue and margin growth. By the end of 2008, our goal is to be at an annualized revenue run-rate of $4 million. We believe gross profit margin will be at least 50% (likely higher), which would result in gross profit of $2 million.
Our indirect expense (e.g., selling, general, administrative, and research and development costs) will likely approximate $2 million. The “bottom line” for us is break even. This will mark a dramatic change in our financial performance, where losses have exceeded $1.0-3.4 million annually during the last few years. Management’s ability to control costs and improve operating margins could enhance the 2008 results.
More importantly, our goal is to be slightly cash flow positive by the end of 2008. Again, this will reflect a dramatic improvement from our recent year “negative” cash flows. We view our cash flow performance as one of the true benchmarks of determining the success of our corporate goals.
During the next 24 months the Company’s goal is to reach annualized sales of $5 million, and gross profit of $2.75 million. Management is committed to maintaining an indirect expense level of $2.5 million during that timeframe. At such performance levels, Paradigm Medical would generate a modest profit from operations and achieve consistently positive cash flow.
Is the goal “reasonable?” We believe so. More importantly, is it “achievable?”
Barring unforeseen external events, management believes the successful launch and global growth of our new-generation Ultrasound devices, coupled with a rededication to our Blood Flow Analyzer™ and the introduction of at least six new product offerings could bolster the base sales level and help expand the Company’s gross profit margin by several basis points.
Paradigm Medical has already achieved substantial reduction in its operating expenses and has isolated areas for additional savings. These can be achieved without penalizing the integrity of our operations. And the higher costs associated with expanding our global sales team and efforts will be offset by the higher revenues and margins we are projecting.
Too often, programs aimed at substantially reducing expenses underscore a company’s maturing and subsequent decline. This is not the case at Paradigm Medical. Reducing expense was a starting point in our strategy of growth, not a stopgap approach to combat complacency. Our manufacturing efficiency has made a quantum leap during the last 18-24 months. Our on-spec and on-time delivery performance has been outstanding.
We have successfully launched a new generation of proprietary devices and carefully scrutinized our product mix. We are more product focused and performance oriented. We believe we are able to meet the challenges ahead and reward our patient shareholders and customers and our outstanding and loyal employees.
Sincerely,
Raymond Cannefax
President and Chief Executive Officer
Paradigm Medical Industries, Inc. (Salt Lake City, UT), currently develops, manufactures and markets high-tech, proprietary diagnostic equipment and consumable products for the medical industry. The Company is a leading developer of Ultrasound devices, and has been dubbed “The UBM Company” (Ultrasound BioMicroscope). Call 801-977-8970 or visit us at http://www.paradigm-medical.com/ for more information.
HOP-ON INC (OTC: HPNN)
"Up 57.14% on Friday "
Detailed Quote: http://www.otcpicks.com/quotes/HPNN.php
HOP-ON (Pink Sheets: HPNN) develops and markets wireless phones and accessories. Its product line includes the next generation CDMA2000 handsets designed by its innovative research and development team as well as GSM/GPRS handsets. HOP-ON targets its phones to emerging market carriers and other domestic carriers as well as resellers needing an entry level priced phone. In addition, Hop-on is currently in the process of expanding into value-added services, including mobile gaming and SMS wagering. The company has developed software and is obtaining licensees in legal jurisdictions to launch gambling programs like interactive poker, black jack, video poker, roulette and baccarat available on cell phones and other devices. For more information, http://www.hop-on.com/.
HPNN News:
October 26 - Hop-on's New Line of 450MHz CDMA Phones Already Boosting Earnings in the Latin American Market
Hop-on's Two New Styles of 450MHz CDMA Phones, the 1912 and the 1913 with Roaming Capabilities Have Already Generated a 10,000 Piece Purchase Order from Latin American Technology Company, GCS Solutions
Hop-on, Inc. (OTC: HPNN), a leading developer and marketer of wireless phones and accessories, and one of only three American manufacturers of CDMA phones, announced today that it has already received a 10,000 phone purchase order of their two newest products, the 450 MHz CDMA cell phone models 1912 and 1913. Hop-on sold initially on its first order 10,000 of their 1912 and 1913 models for $72 each to the distributor, who will put up an irrevocable letter of credit to pay for the purchase of Hop-on’s new innovative phones.
The 1912 and 1913 models feature internal antennas and a sleek, light-weight design. Both models have full-color screens, while the 1913 utilizes a higher-resolution screen for sharper images. Either handset is the perfect choice in low-end phones for consumers and carriers in Latin America and other emerging markets, who tend to favor enhanced American standard products over cheaper versions from Asia.
“We have been working with the distributor for many years, they will be helpful in assisting in logistics of distribution, local currency and regulatory issues” says Hop-on’s President, Peter Michaels. We are thrilled that they are representing Hop-on to introduce our 1912 and 1913 to this particular market.”
BIOPACK ENVIRONM SOL (OTCBB: BPEV)
"Up 54.84% on Friday"
Detailed Quote: http://www.otcpicks.com/quotes/BPEV.php
Biopack is an industry leader in the green revolution and in the manufacturing of 100% biodegradable consumer products. The company manufactures 100% biodegradable products from locally available waste products. For more information please visit Biopack's web site at http://www.biopackenvironmental.com/.
BPEV News:
Oct. 26 - Biopack Announces Soft Opening for Biopark
Biopack Environmental Solutions Inc. (OTCBB: BPEV) announced the recent soft opening of its state of the art facility known as Biopark. The factory management and office staff have begun to move in to the complex. One of the four scheduled production lines has been completed with a second line nearing completion. This constitutes seven fully automated machine units as well as eight mixing pools for coloration of Biopack's unique 100% biodegradable food grade packaging products.
Sample production runs for Biopack's distributors and customers are scheduled to commence shortly. Slated to be prepared among others are: two sample runs for M2 Formulex representing the North American region, one sample run for AGQPE representing the South African region and four sample runs for Moonen Packaging (through Roots Biopack Europe) representing the European region.
As previously announced, Biopack leased 6.6 acres of land in Jiangmen City in Southern China to set up Biopark. Remaining infrastructure is currently being installed in anticipation of Biopark fully coming online in the coming months. A research and development department has been established to expand on the in-house mold design and fabrication abilities as well as future automation opportunities. Biopark promises to be a unique green showcase of the manufacturing of biodegradable products for Biopack's international clients.
GLOBAL WATER TECHS (OTC: GWTR)
"Up 54.55% on Friday "
Detailed Quote: http://www.otcpicks.com/quotes/GWTR.php
Global Water Technologies, Inc. (OTC: GWTR) is a "CleanTech" water treatment and services company with "clearly" innovative technologies, focused on the energy, power, oil and gas, process, HVAC and municipal markets. Through its subsidiaries, Electric H2O, Inc. and Watergy Produced Water Solutions, Inc., the company utilizes its proprietary technologies and services programs to increase operating efficiencies and reduce water usage through comprehensive water management solutions. GWT has an established client base of over 500 customers in more than 25 countries worldwide. GWT's products treat over 10 billion gallons of water per day.
GWTR News:
October 26 - Global Water Technologies Redeems Outstanding Convertible Debentures
Global Water Technologies, Inc., (OTC: GWTR) a leader in environmentally sound water purification technology and services to the $400 billion water industry announced today the redemption of all the outstanding amounts and non-converted debentures issued to Highgate House Funds Ltd., a sub-fund of Cornell Capital Partners, now Yorkville Advisors.
"Redeeming these debentures is an important step in our strategic plan," said George Kast, Chairman and CEO of Global Water Technologies. "We are now better positioned to attract more suitable funding to accelerate the growth of our installed base of Cleantech energy and water savings technologies."
"Steady growth in coalbed methane (CBM) and other unconventional energy production has created a large market opportunity where we can leverage our expertise and create real shareholder value," continued George Kast. "Our comprehensive produced water solutions are one of the most economical and environmentally sound methods available to Oil and Gas producers with produced-water disposal and reclamation issues. As we continue to execute and strengthen the company's position, we trust the investment community will realize our value proposition and our stock will begin to better reflect the intrinsic value of our extensive water technology base."
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