For Wednesday, October 19th
ENKG, DPHG, QEDN, SMNG, ORS, OCTI
Our Stocks to Watch tomorrow include Energy King Inc. (OTC: ENKG), Direct Pet Health Holdings Group Inc. (OTC: DPHG), QED Connect Inc. (OTC: QEDN), Strategic Mining Corp. (OTCBB: SMNG), Orsus Xelent Technologies Inc. (AMEX: ORS) and Octus Inc. (OTC: OCTI).
ENERGY KING / GODFATHER MEDIA INCORPORATED (OTC: ENKG)
"Up 600.00% on Tuesday"
Detailed Quote: http://www.otcpicks.com/quotes/ENKG.php
Godfather Media (formerly known as Engergy King) Inc. plans on growing its new business by acquiring interest in companies in mobile and social media, with talented executive management teams, smart mobile and social media products and services having a business model that generates revenues and are profitable. Our philosophy is that through a strong management team a strong company can be built, whether the acquired businesses are start-ups, in the later development stages, fully-operating entities with positive cash flow or distressed companies in need of our management's expertise to achieve turn around. Godfather Media, Inc. will offer these subsidiaries financial assistance, critical strategic support and management support from an experienced team, to support and grow them. Our shareholders will be updated on a quarterly and annual basis via newsletters, teleconferencing and press releases whenever material events occur.
October 18 - Energy King, Inc. Changes Name to Godfather Media, Inc.
Energy King, Inc. (OTC: ENKG) Board of Directors is pleased to announce that it has changed its name to Godfather Media, Inc. and the ticker symbol will not be changed at this time.
Energy King, Inc. CEO Michael Cummings stated, "The Company's Board of Directors, as well as the Majority Shareholder believes that the Name Change is in the Company's best interest and is intended to more accurately reflect the Company's operations and interests. At present, the Company is no longer engaged in the HVAC business but in the mobile and social media industry. We also launched a new website at www.godfathermedia.net which explains our focus in more detail."
DIRECT PET HEALTH HOLDINGS INCORPORATED (OTC: DPHG)
"Up 344.44% on Tuesday"
Detailed Quote: http://www.otcpicks.com/quotes/DPHG.php
Direct Pet Health Holdings, Inc. is positioning itself to become a leader in its industry as the ultimate 'One-Stop-Shop' for pet health care. The company looks to provide its members with health information, pet insurance, and pet care products created for a target market driven by a strong demand for pet health care products and services — all transacted over the Internet.
October 17 - Direct Pet Health Elects New CEO
Direct Pet Health Holdings Group, Inc. (OTC: DPHG) announces the election of W. Brown Glenn Jr. as the company's Chief Executive Officer and Director and relocation of the Company's offices to 12720 Hillcrest Road, Suite 750, Dallas, TX 75230.
The Consent Resolution, electing Mr. Glenn, was adopted by an affirmative vote of two shareholders representing more than 90% of the outstanding shares of the Company eligible to vote.
QED CONNECT INCORPORATED (OTC: QEDN)
"Up 50.00% on Tuesday"
Detailed Quote: http://www.otcpicks.com/quotes/QEDN.php
QED Connect, Inc. is an information security Software-as-a-Service (SaaS) provider that gives organizations visibility, management and control of activity on all their computers, laptops and wireless devices. The company's SaaS, Omni Manager, is an affordable way to monitor and manage how employees are using company computers and the Internet any time, any location; solving problems created by today's 'virtual' work environment (branch offices, remote workers, traveling employees). Omni Manager is a web-hosted software application that includes Internet filtering and blocking, antivirus, instant messaging management, asset tracking, application usage monitoring and policy management. ROI is delivered by employee productivity gains, cost savings and improved operational efficiencies.
September 27 - QED Connect, Inc.'s Joint Venture Partner, Sofame Technologies, Inc., Seeing Solid Traction in Sales for the Food Processing, Healthcare & Central Heating Plant Segments
QED Connect, Inc. (OTC: QEDN), a New York Corporation ("QED Connect"), announced that its Joint Venture partner, Sofame Technologies, Inc. ("Sofame Technologies") (TSX. SDW), has received a letter of intent from a hospital in New England for a Percotherm® stack heat recovery unit. Hospitals typically require stable volumes of hot water in large quantities making them ideal applications for Sofame systems, which raise the fuel to hot water efficiency to as much as 99%. Purchase orders over $1 million already received from the food processing sector are expected to ship this quarter. Additional information to follow.
John Gocek, Sofame Technologies' President & CEO, commented, "Sofame is pleased with its success this quarter and believes the Company is well positioned for 2012. Our network of representatives has been working with several companies and organizations in the food processing, healthcare and central heating plants and is seeing an increasing demand for fuel efficiencies. The Sofame Percotherm® provides a good solution for this need as its performance metrics are among the best in the industry, offering more than 95% gas-to-hot-water efficiency, condensation technology and 140 degrees F leaving water temperature."
Tom Makmann, President and CEO of QED Connect, stated, "QED has been in the process of implementing its business strategy over the last 2 years and is excited that it is now in position to achieve its goals. The economic conditions have obviously made it difficult for companies to achieve their plans. However, by focusing on our core strategy working with our partners, QED is in position to be deliver its business plan and move to become a 'business development company' in 2012."
STRATEGIC MINING CORPORATION (OTC: SMNG)
"Up 25.45% on Tuesday"
Detailed Quote: http://www.otcpicks.com/quotes/SMNG.php
Strategic Mining Corporation is engaged in the exploration and development of gold properties in Vietnam, the US (Nevada/Utah) and Africa. The company intends to expand by acquiring mineral rights to other key properties and by initiating strategic joint ventures.
October 17 - Strategic Conducts Successful Metallurgical Tests on Vietnam Nat Son Gold Property
Tested Samples Assayed Up to 21.8 Grams Per Tonne Gold, and Up to 99.9 Grams Per Tonne Silver
Strategic Mining Corp. (OTCBB: SMNG) announces that it has conducted a successful metallurgical test on gold and silver samples collected at the Company's flagship Nat Son property in northern Vietnam. The samples were collected during a two week geological study of the Nat Son property by Strategic's independent consulting geologist, Mr. Robert Marvin (B.SC, PGEO) of Red Rock Geoservices.
The tested samples taken from one of Nat Son's numerous exposed gold veins were initially assayed by ALS Chemex of Vancouver, Canada. The tested samples assayed from 7.44 grams/tonne to 21.8 grams/tonne gold, and 73.22 grams/tonne to 99.9 grams/tonne silver. The assayed samples were then sent to Mr. Richard Kunter (BS, MS - Met Eng) in Englewood, Colorado for metallurgical analysis and recovery tests.
Mr. Kunter reported: "The sulphide flotation concentrate of the most recent test recovered 74.6% of the gold contained in the sample in a 5.16% wt% concentrate assaying 5.202 troy ounces gold per ton (178.35 grams gold per tonne). The calculated head from the test was 0.359 troy ounces gold per ton (12.32 grams gold per tonne). This was in good correlation with the assayed value of 0.387 troy ounces gold per ton (13.27 grams gold per tonne). The test confirmed that a high grade concentration with good recovery can be achieved on mineralized material from the Nat Son project."
In his property evaluation report on the Nat Son property, Mr. Marvin reported: "the mapped characteristics of the property are typical of many productive gold districts worldwide. Examples of geologically similar, productive gold deposits in Asia include the world-class Natalka deposit in Russia Far East (over 20,000,000 ounces gold), the Maoling deposit in China (800,000 ounces gold), and the Kolpatas and Daugyz gold deposits in Uzbekistan (gold resources in excess of 1,000,000 ounces)."
ORSUS XELENT TECHNOLGIES INCORPORATED (AMEX: ORS)
"Up 44.94% on Tuesday"
Detailed Quote: http://www.otcpicks.com/quotes/ORS.php
Incorporated in the State of Delaware and headquartered in Beijing, China, Orsus Xelent Technologies, Inc. is an emerging designer and manufacturer of award-winning mobile phones for the Asian market, primarily the People's Republic of China ("PRC"). The Company's business encompasses the design of mobile phones, related digital circuits, and software development, and it is a recognized pioneer in mobile phone integration technology. It introduced the region's first wristwatch-style cellular phone, and it continues to break new ground with state-of-the-art phones that include advanced features such as fingerprint recognition and touch-screen displays. The Company also is focused on developing and marketing, under its Proxlink trademark, special application mobile phones for specialized users in a wide variety of professions in business and government. Since the Company's launch in 2004, it has established "Orsus" as a popular brand and achieved a significant share of the world's largest mobile phone market. It maintains more than 179 service call centers across the PRC, with additional offices in Shanghai, Hong Kong, Shenzhen, and Tianjin.
August 22 - Orsus Xelent Announces 2011 Second Quarter and First Half Results
Orsus Xelent Technologies, Inc. (AMEX: ORS) ("Orsus" or the "Company"), a designer and distributor of award-winning mobile phones for the Asian market, reported results for the second quarter and six month periods ended June 30, 2011.
* Sales in the quarter declined from $6.47 million a year earlier to $4.64 million, and for the first half in 2011 were $8.56 million compared with $14.06 million in the first six months of 2010.
* A net loss incurred in the 2011 quarter widened to $2.88 million from $248,000 in the same period a year ago. Through the first six months of 2011, the Company reported net income of $29.15 million or $11.78 per share, on 2.52 million shares outstanding, compared with a net loss in the first half of 2010 of $702,000. The year over year increase in the six month period was due to a reversal of an allowance for bad debt resulting from a renewal of a third party guarantee on accounts receivable.
* Shareholder's equity of $25.17 million at June 30, 2011, compared with a negative net worth at the same time last year of $4.5 million.
The Company noted that the gross profit margin through the first six months of the year increased 1.34% to 8.96% from 7.62%, and to 8.4% in the second quarter compared with 7.35% in the second quarter last year. This was a consequence of adjusting the sales prices for key products in line with the sales strategy management established at the start of the year. At the same time, other key objectives of the strategy were not achieved, as the Company's low priced products were still priced too high to attract support from telecom operators, and sales of higher priced products were weak as new sales channels could not be established to foster sales growth.
The Company reported other key factors which contributed to lower net income in the second quarter were a newly accrued bad debt allowance for accounts receivable not covered by guarantee contracts, as well as additional interest penalties accrued on outstanding loans.
With respect to guarantees on the Company's very substantial accounts receivable, (the latter reached $100.36 million at June 30, 2011), on August 19, 2011 the guarantee contract signed on March 30, 2011 was again renewed. The guarantee amount for receivables from Xingwang, the Company's primary distributor, also was increased from RMB 500 million to not more than RMB 650 million.
Going Concern and Cash Problems
Mr. Guoji Liu, CEO of the Company, stated, "As our accounts receivable have continued to grow, our major problem is our weak cash flow which has resulted in a serious going concern issue. Our working capital is not sufficient to support the operation of the Company and raises doubt about our ability to continue as a going concern."
He added, "Recoverability of a major portion of our assets amounts is dependent upon the continued operation of the Company which, in turn, is dependent on the Company's ability to raise additional capital and secure financing. As such, we continue to explore, among other things, a strategic merger possibility and an offering and sale of equity. In the latter regard, on August 12th we filed a shelf registration statement with the Securities and Exchange Commission, which, if approved, would give us flexibility with respect to the possible sale of a variety of corporate equity and debt securities with an aggregate price of $6 million."
Mr. Liu also reported that the Company is continuing to follow procedures with respect to remaining listed on the NYSE Amex, but can provide no assurance that it will be successful.
"If the Company is successful in achieving its financing goals, it will be positioned to pursue more vigorously a shift in its product and marketing strategy," Mr. Liu added. He said this includes focusing on marketing in new regions such as Africa, while expanding in the Company's traditional domestic market with products that more closely meet the needs of the telecom operators.
"In summary," Mr. Liu concluded, "we face a substantial challenge, but continue to believe it is possible to achieve healthy development with the solutions we have designed, and are working hard to accomplish this."
OCTUS INCORPORATED (OTC: OCTI)
"Up 41.18% on Tuesday"
Detailed Quote: http://www.otcpicks.com/quotes/OCTI.php
Octus, Inc. is a leading building efficiency company headquartered in Davis, California that significantly reduces the utility costs of commercial, multi-family and institutional buildings through the financing and implementation of energy-efficient lighting, HVAC and water management systems and products. Octus' project development division, Quantum Energy Solutions, has completed more than 1,500 building efficiency projects for clients that include ARCO, Bank of America, Blockbuster, Delta Airlines, Frito Lay, Hewlett-Packard, Home Depot, Ikea, Nabisco, Pepsi, Petco, Safeway, Sears, and University of California.
October 12 - Octus Completes Energy-Saving Modernization of the Hallmark Inn
Octus, Inc. (OTC: OCTI), an innovative California-based resource efficiency company, today announced it has completed a comprehensive energy-saving renovation of the Hallmark Inn, a 134-room boutique hotel in Davis, California and an affiliate member of Worldhotels' First Class Collection.
"The Hallmark Inn made a smart environmental, economic and aesthetic investment," said Octus CEO Chris Soderquist. "Through Octus's comprehensive upgrade of their lighting systems, the hotel's carbon footprint and utility bills will be reduced dramatically, and the experience for hotel patrons will improve significantly. This project exemplifies Octus's ability to identify and implement energy-saving measures for property owners, including the procurement of project financing and utility rebates."
The energy-saving renovation involved the replacement of inefficient lighting systems in the parking garage, common areas, conference rooms, stairwells, restaurant, bar and hotel rooms with energy-efficient lighting fixtures, including bi-level fluorescent fixtures, dimmable LEDs, LED exit signs, and occupancy sensors. As a result, annual energy use for the modernized lighting systems will be reduced by 52 percent (an estimated 51,000 kWh), with annual demand savings of 13.6 kW (a 58 percent reduction).
"We were pleased with the results of our work with Octus in our efforts to reduce our energy consumption," said Reed Youmans, partner, Hallmark Properties. "We have a great new look, lower energy bills and the knowledge we have done something that's good for the environment. We feel like winners all the way around."
Financing for the renovation was provided through Pacific Gas and Electric Company's (PG&E's) innovative Energy Efficiency Retrofit Loan Program and energy efficiency rebates from PG&E. The financing — a 0 percent interest loan — ensures utility bill neutrality, whereby financing costs are less than or equal to energy savings.
"Obviously, people want and deserve comfort, service, quality, and convenience when they travel," said Tom Griffiths, vice president of Worldhotels-The Americas. "The fact that Reed Youmans and his team at the Hallmark Inn have taken steps to make sure these things are done well — while being environmentally responsible — is just one of the many reasons the Hallmark is a unique and valuable part of the Worldhotels' portfolio."