Yoseloff not only has made basic errors for pricing shufflers, the purchase of Stargames was so bad he should be fired out of hand.
Shfl is a grossly over priced stock, but there is no denying it makes good products with little, if any, real competition.
Therefore, the intelligent way to market shufflers is as follows:
Firstly: Calculate what the casino makes when using a shuffler over HAND DEALING Texas Hold'em.Hand shuffling produces an average of 32 hands and hour, whereas using a shuffler produces an average of 37 hands an hour.
Secondly : Calculate the additional made by the casino.5 hands per hour x $5 drop = $25 per hour x 10 hours per day [ average use]. That provides and additional $250 per day.
Thirdly: Calculate additional revenue to casino per month.$250 per day x 30 days =$7,500.00 per month.
Fourthly: Calculate reasonable rental/ lease price per month.$7,500.00 x 30% provides $2,250.00 per month. Deduct $500.00 per month for cost of maintenance and over head etc provides a net monthly rental of $1.750.00 per month.A 30% amount for Shfl, vs the 70% amount retained by the casino is a reasonable division of the profits produced by using shufflers rather than hand dealing.Also, employee theft form stacking the deck for jack pots is down to zero.
The present foolish lease cost is far too low at about $450.00 a month, and Shfl is losing about $1,350 per month per leased shuffler.Obviously,Shfl should not sell shufflers.
None of the above is rocket science, and it simply high lights poor pricing and terrible management by Yoseloff.
"The board of directors has fixed January 31, 2007 as the record date for determining shareholders entitled to receive notice of, and to vote at, the annual meeting or any adjournment or postponement thereof. Only shareholders of record at the close of business on that date will be entitled to notice of, and to vote at, the annual meeting."
But will I be entitled to eat at the annual meeting? I missed the record date.
Hmmmmm, so you don't like Yoseloff. None of us got that from your previous 1,000 posts. Do you actually have a life or have you devoted your entire life to posting negative comments on this board about Yoseloff? Pretty sad since I am pretty sure none of your posts will have any effect on the companies hiring and firing policies. Get a life already.