I am a significant shareholder in AIRT. Swenson acquired (on the open market) a 23+% interest in AIRT , started a proxy battle, dislodged the existing Board and got the CEO to leave. Swenson is an activist and must see real value in ISIG.
If Swenson is involved, then I will also look at ISIG very closely.
ISIG has $1.55/share in cash and no long term debt. New management also looks strong. Although it is only marginally profitable at this time, it appears to have nice potential.
Swenson wanted to leverage AIRT's assets to make money. He must be extremely confident that an investment in ISIG constitutes the best use of AIRT's money at this time.
the market is putting nominal value on the company- i think that the potential is still there for a merger at a much higher price. i picked up another 150,000 shares in the last five trading days. For $20,000, I am ready to roll the dice.
Walter Clark generated a lot of big sales that were only marginally profitable such as te USAF towmotor contract. . The big question is whether Swenson can do better? He mentioned in an earlier quarter release that he was going to focus on higher margin sales.
I have been buying almost every day since the earnings release on the prospect that last quarter was a "clean up" and we should see real improvement going forward. I also expect to see that Swenson has also been buying at this level as he bought in mid June at $12.75.
The support yesterday was impressive and reassuring. For a while the bid was only $10.54 but it never traded below $11.35 and most of the trades were above $11.50. I did not see in the 10Q any reference tha the company has bought any stock under their announced buy back, This is a positive development which shows that there is price support without Swenson.
With both you and i adding to our sizable positions, the retail float must be quite small. I now have over 6%.
I am counting on the fact that this past quarter was a fluke and will not be repeated. If the delayed order that was supposed to be shipped last quarter is shipped this quarter then it will be reflected in the next earnings report. The company is only trading around book value (with no fluff) so there is still plenty of room for appreciation.
Yes, they are cleaning up the loose ends. I would say that the quarter was full of "glitches".
I do not disagree that the quarter was quite weak but I have to give Swenson the benefit of the doubt given the fact that the problems were created during Walter's rule. I reiterate that Swenson bought at $12.75 pretty much at the end of the quarter- doesn't that say a lot for his confidence?
Keep in mind that the line of credit has not been utilized and AIRT has plenty of leverage for such a small company. Once they dump the King Air they will have more cash and greater flexibility.
I picked up another 10,000 shares over the past month at an average of $11.50. I do not regret the purchase as I am in the stock for the long term and the weak quarter does not change my view.
Hope all is well with you.
The press release provides little detail about last quarter's results. Although profits are down, the backlog is up substantially. The 10K is not of record as of this post and I will comment further after I have a chance to review the document.
It is now evident that the restructuring process will take some time to implement. Logic dictates that Swenson must be optimistic or he would not have bought 20,000+ shares at the $12.75 range in mid June.
I like the fact that they went in house and were able to find competent people without overpaying or having to pay a head hunter. The pieces are falling in place.
This is so typical for UIS. That is why I started a position this morning with an average buy around $21.40. After two poor quarters I suspect that based on the press release and recent Pa. order, the next two quarters should be much improved. Given the historical swings, I was ready to take the risk that we have seen (or near) the bottom and that there should be a healthy recovery (10%+) over the next 120 days.
There is only a small window for Swenson to buy and he took advantage of it. I do not think this stops the company from buying back stock. The spread is large evidencing that there are no serious sellers at this level.
All good from my perspective. Parry was a good employee but he is replaceable. His options are being bought out and will reduce the float and will ultimately result in higher earnings. Simpson is still needed and the company has worked out a mutually beneficial arrangement. The puzzle is starting to take shape.
Trading has been thin with big spreads between the bid/ask. I am still holding and will add on dips below $11.75. i have confidence in Nick. .
Thanks- this is the Court of Appeals affirmation related only to the patent infringement verdict, NOT the anti-trust jury trial which is separate and distinct. Although the outcome was positive for RVP, it has little bearing on the anti-trust case. I am releived to the extent that a reversal would have been a negative event and could have influenced Judge Davis to side more with BCD..