DJ Holder Buys 10,500 Of FARMER BROS CO >FARM (DJN)
SOURCE: Form 4
ISSUER: FARMER BROS CO
FILER: FRANKLIN MUTUAL ADVISERS LLC
TITLE: Beneficial Owner
DATE TRANSACTION SHARES PRICE VALUE
9/14/04-9/15/04 Purchase 10,500 $24.93 $261,763
OWNERSHIP: 2,080,739 (Direct)
The Form 4 is filed with the Securities and Exchange Commission by insiders
to report transactions in their companies' shares. Open market purchases
and sales must be reported within two business days of the transaction.
Insider Data Source: The Washington Service
(�email@example.com� or 301-913-5100)
(END) Dow Jones Newswires
One of the problem is that Roy and you refuse to realize the PEET, SBUX, GM and many small gourmet roasters are the competition. In my home town all the convience stores use to sell Farmers coffee, now I see we've been replaced by specialty brands. Wake up! When John O'Groats(maybe misspelled) in LA brings in PEETS to replace Farmers they are the competition. I think you and Roy are the only ones who don't realize this.
Focusing on keeping control through the ESOP is taking attention away from running the business, also I believe the company expenses it contributions to the ESOP which have risen in a time of declinging earnings.
I went to the shareholder meeting 2 years ago & spoke to employees at that nice lunch Farm served us, they talked about the problems of the MIS. If they knew things weren't going well, why didn't management? God forbid management should listen to their rank & file employees who are very loyal to the company.
I've held this stock because I personally like their coffee and think they have great assets. I felt when Roy senior past away, the company's management style would come out of the dark ages. And management would wake up and meet their competition head on with new products, listen to their customers needs and yes even listen to their employees.
Franklin may be a pain to them but before Franklin they were fighting with the Crows.
Look at the poor return management has earned on their cash, this is not the sign of good management? I'm not selling my stock and yes I have a nice profit, I timed my purchase well but today I'm not buying at these depressed prices because I've lost faith in this management. I hoping management will wake up and be innovative in building the business. Use the cash to buy a specialty roaster, or develop our own, or what ever will build the company. Stop spending all your time on trying to keep control. If management does it job well they will not have to worry.
sissy- do you even know who the competition is? Many here think its Starbucks or even Green Mountain, but you're all wrong.
How is buying shares for the ESOP hurting earnings?
How is the company being run into the ground?
How is implementing a Management Information System hurtful? Everyone else has done it, did it hurt them? or did it streamline their communications, cut expenses and increase business? What could also make you think management isn't focused on market share? Like Franklin needs to tell them that?
If you have held the stock over 10 years, then you've seen your yield more than double and have a current yield competing against 5 year treasuries. I think that is a pretty damn good yield now a days.
It seems to me that you fall into the same category as skindoc, what is it that you hope to gain by continuing to hold this stock? What was your investment strategy by holding onto this stock through all of the price hype at the end of last year? As far as I can tell, you've given up the triple and are now sitting with a double. Is it your tax bite on your gain that made you continue to hold it?
It appears to me that FARM is or at least sould be part of your foundation stocks in your portfolio and left alone, it has only made you money.
Well you have a point all these people want to do is argue about the cash. If you didn't know farm is debt free. They pay cash for everything they buy from Semi Trucks to coffe beans and everthing inbetween. Due to market fluctuations in green coffee prices it does good to have cash on hand. How much I don't know but if Roy F. says the co needs 200 mil in reserve I believe him. So if Roy E sticks to his dads plicy who am I to fault him for it. They not I built Farm into a multi-million dollar co. If you don't like the way they do business why don't you sell and quit hanging on to "such a loser co" that is not ran the way you think it should be.
As far as there responsability to the share holders goes they must be doing ok in that arena or I would think all the govt investigations that people like you and Franklin have brought down on this co, which by the way cost some of that precious money you want your hands on to defend against, would have bore fruit and possibly put someone in jail or brought fines against them. none of which I can ever remember happining.
Now there mis thing isn't going well. They made a mistake in who they hired in my opinion to do the upgrade in there systems. I do believe I have heard they fired the co and found a new one, I don't know if that is true or not. But I am willing to give them the time they need to compleate the transition in all the areas they are working toward changing.
But you forget that part of that cash is also yours and mine not just the GREEDY, RICH officers of FARM's. They want to keep it ALL for THEMSELVES, when it also belongs to other shareholders EQUALLY. Just wanting to be FAIR, and honest (how about YOU)?
I've owned this stock for many years and I'm disappointed that a good company seems to be going down hill. Management only cares about how to take earnings & cash and use it to buy stock for the ESOP. I'm voting with Franklin with the hopes management will wake up and focus on regaining market share. They have a good product and had wonderful front line salesmen/servicers but management has been fighting a war with their relatives and have let the business go to hell in a basket. If I wanted a quick profit I would have sold before the split. I don't think the dividend is so generous and I've owned the stock for over 10 years, do you call that a quick buck?
Precisely how much cash does Roy need at FARM???????????????? He is not growing the biz----what is the cash for???????? Please elaborate why the balance sheet looks like it does?????????? Many thanks
taexpert: You have taken on a tough job arguing with Farmer Brothers critics. They only care about the price of the stock, not about the company behind the stock. They know nothing about the actual running of a successful long-term business and they don't care. All they know about is how to complain and all they care about is how much cash can I get right now! Good luck. You will need it. I have been in your position with several other similar companies and the critics simply want to get their grubby paws on the cash that smart, honest people accumulated by running a successful business over many years and were smart enough to hold onto the money.
Franklin (BEN) is actually a pretty good company. There was somewhat of a witchhunt vs all of the mutual fund cos over the past year---and yes, Franklin had their bad apples. Nobody needs FARM to run a mutual fund for them---essentially they are running a business---and on the side running a holding company sitting in cash and money market instruments. Why not return the cash to shareholders. You must agree the business model they have is not working. If FARM doesn't want to place the shareholders first---why not just take the company private---then they can run it like they please. When you tap the public markets, certain responsibilities and fiduciary obligations come with that. That is all I am saying here.
Yeah, like break up the company and loot the piggy bank.
I haven't seen anything on Lutin's web site that would make me believe anything else. Franklin & Lutin remind of Gordon Gecko in the movie "Wall Street", take the money and run and who cares about the company. Remember Gordon Gecko's motto? Greed is Good... Franklin doesn't have a plan for the growth and revitalization of this or any other company. They can't even run their own company. Still there is no compelling arguement that would sway me to vote for anything Franklin could propose, don't trust them. At least with FARM, I know where the money is and I receive a nice dividend check quarterly. Besides looking back I have never seen any insiders sell this stock, only buy it.