posted
This thing just dive bombed very fast. I cant find any news that would indicate why? Does anyone out there know what happening in the last few days to bring this down so fast?
-------------------- If you made money, it was a good trade Posts: 453 | From: Cleveland, Ohio | Registered: Apr 2005
| IP: Logged |
posted
Its a pump and dump. Probably just added more shares to market.
This is from someone else. Looks pretty detailed.
By: good_timing
*** PMHJ Due Diligence***
For those new to PMHJ (formerly PRIM), below are some facts to consider.
For those who have seen this DD before, enjoy the updates, and by all means keep whining that I repeat this message occasionally so that anyone new doesn’t have to scroll through hundreds of pumping messages to get actual information.
PMHJs CEO Tom Aliprandi presents himself well, and even now there are still a few true believers in him as an ‘honest’ CEO, but he is either incompetent or a con man, or both. I believed in him as well – my mistake.
PMHJ PRs and pumping are easy to find, the full story isn’t. I allowed myself to get burned, and provide the below to make the full picture more visible and as a small way to make it slightly harder for PMHJ to continue selling new shares (O/S 16 million Jan 2001, up to 1 billion April 2004, 1.35 billion pre-100:1 reverse split in September 2004, 13.5 million post-split, now something in excess of 36 million. ***Since April 2004, the O/S has roughly quadrupled***. In early October O/S was 14.7 million; then 38 million mid-October; then 44 million early November; then 29 million; then 36.5 million Feb 16 2005. Tom has not explained these fluctuations, the net result of which was a ~170% increase in O/S since the reverse split...and in March 2005 he instructed the transfer agent (Interwest Transfer 801-272-9294) to no longer provide the O/S to inquiring investors!
PMHJs claimed primary revenue source is a joint venture with Target Communications LLC. As of mid-2004, Tom claimed that PMHJ has a 51% stake in Target, with a max of 60%, and the pct may ‘change’ (read: go down) with additional acquisitions. Tom has not provided any info on Target’s profitability nor whether Target’s principals could get an equity stake in PMHJ. The CPA’s review of *revenues only* - which is limited to reviewing invoices created by PMHJ and PMHJ’s recording of the invoice - does not answer these questions.
During April and May 2004 many statements were made regarding regular customer growth, the expectation of continued revenue growth, and it was claimed that Target could easily handle tens of millions of minutes (this is BEFORE the addition of new equipment that is supposed to have taken place in May 2004). After acquiring new equipment - again, to support volumes that were supposed to have been ‘easily handled’ with existing infrastructure - Tom stated that even more equipment – that is, more than what would be needed to support *hundreds of thousands* per month in revenue – would be needed by July. The May 12 PR stated that the first round of new equipment would be operational in ‘about a week’. Tom stated that revenue updates would be provided weekly…but this didn’t happen…and now we know why: At the end of *July* Tom claimed that problems with implementing the new server – which was supposed to have taken place in *May* – led to a decrease in *June* revenues of over 65% to $35,000.
Subsequently, Target’s revenues were claimed to have increased to $300,000 in October 2004. In spite of this apparent success, it was during this same month that O/S was increased 80%...and Tom continued to state that more capital is needed, which in the past has always translated to “more shares on the way”. In late 2004, uptick.com posted a PMHJ profile with Tom’s latest ‘updates’ including the need for more capital (and noted a disclaimer regarding shares given to uptick as ‘collateral’). As of ~March 2005, the uptick.com profile had disappeared.
After another claimed $300,000+ month in November, December’s Target revenues were claimed to have *decreased* to ~$210,000 (about 34% down from November), and through February ’05 they have remained around that level. Still no word on profitability, customers, other Target principals, etc.
PMHJs other claimed source of revenue is BusBoy. Tom has stated that BusBoy’s break-even is about 55 customers. On July 20 PMHJ claimed to have instantly acquired 264 customers at a trade show – but no info was provided about what these ‘customers’ committed to in terms of revenues (or whether they simply agreed to try the product, or ???). Tom also claimed to have added an *additional* 325-385 customers in ~September, for a total of about 600 customers. IMO there is no way these 264 ‘customers’ and the second group of 325-385 ‘customers’ instantly committed to being PAYING customers. The fact (not opinion) is that over the past several years PMHJ has regularly implied and claimed that customers and revenue streams existed…when in the end none did. Finally, in November PMHJ released an accountant letter stating that 230 customers would be billed for November. However...as of April ’05, no further BusBoy updates have been provided, which is consistent with previous businesses that failed: They simply stopped being talked about with no explanation.
When the 100:1 reverse split was completed in Sept ‘04, Tom’s shareholder letters stated that more capital needs to be raised, and that no other financing was available (other than by selling shares…). All of this was in spite of: - over 500 million shares sold pre-split in 2004, during which time the pps averaged well over $.0025 (over $1.25 million in new shares were issued), - *and* the several hundred thousand in claimed Target revenues, - *and* the claimed hundreds of BusBoy customers (when he said 55 was break-even) - *and* Tom’s regular statements that nobody at PMHJ is being paid, and that PRIM’s business is highly ‘capital efficient’. This is a continuation of the same pattern that has been happening for years.
Briza is yet another example PMHJs history of unreliable PRs: 1/20/04 PR ‘Briza currently contracts with foreign-based corporations to perform credit card billing services over a wireless platform.’ 3/25 PR 'definitive agreement' with Briza customer with est. $3 million revenue 4/15 O/S 1.035 Billion 4/19 meeting in New York (described in CEO letter 5/11/04) where pro forma provided indicated Briza deal was questionable 4/21 CEO letter states share buyback ‘may happen sooner than projected’. Reality: 80 million additional shares issued from 4/15-5/4! 4/29 PMHJ PR mentions interim CFO's language skills as helpful in executing Briza (no mention of Briza issues) 5/4 O/S 1.115 Billion 5/5 Briza’s website states “Briza Technologies Will No Longer Pursue Business With Primeholdings” 5/11 CEO letter claims Briza was risky and not worth investing either $100,000 upfront or $283,000 development costs. No mention made of earlier ‘definitive agreement’ with $3 million est. revenues. 6/22/04 CEO letter stated ‘new financial analysis’ has led to decision to spin off Briza (the spinoff will raise its own capital). PMHJ shareholders from 2003 will receive a ‘stock dividend’; Tom ‘wants’ to do the same for newer shareholders.
All of this Briza confusion happened even though the same Ashlin Capital that is supposed to be providing PMHJ ‘interim financing’ funded Briza for $20 million in 2003!
Absent from PRIM’s website is pre-2004 info re: PMHJ businesses with multiple optimistic PRs and revenue projections such as UniQuest, Timemarker, Navilor, GolfAgent, JustGiftIdeas, bCard. PMHJ has started to remove PRs (from early 2004) from its website, just as it removed all prior PRs when it launched its new website in early 2004. Excerpts from prior letters/PRs (see investorshub .com and siliconinvestor .com among others):
4/10/03 PR: PrimeHoldings' Board of Directors approved the repurchase of up to 100 million shares of its common stock.
12/30/02 PR: UniQuest Communications and H20 Media have commenced ramping up its sales and marketing efforts for Z-Tel's products in California, Florida, and Georgia. Over the next year, UniQuest is expected to expand its marketing initiatives into eleven more states…
10/7/02 CEO Letter: “During the last three weeks we have made measurable progress towards obtaining full-reporting status and being re-listed on the NASDAQ BBX exchange.” “Already in motion is the plan to develop an existing full-reporting entity from which PrimeHoldings.com shareholders would receive proportionate dividends.”
9/9/02 CEO Letter: “Based on information which we now have, we believe that PrimeHoldings.com will be self-sustaining, even after the first month of new telecom sales during the month of September. In the meantime, we will make substantial progress towards obtaining full reporting status.”
7/23/02 CEO Letter: “bCard 2001 un-audited financials showed over $1.8 million in revenues. With the existing targets and new business opportunities, we can expand our revenue base to historical levels. After debt restructuring is complete, we can possibly see an earnings per share in the near-term.”
7/15/02 PR: PrimeHoldings.com…announced today that it has engaged the services of a Salt Lake City securities law firm to prepare the company's Form 10-SB registration statement. "The filing of the Form 10-SB will expedite our Company's ability to list on the OTC Bulletin Board," said Thomas Aliprandi, CEO of PrimeHoldings. "Once we are fully reporting, we will resume our aggressive expansion plans."
6/3/02 PR: bCard, Inc., a subsidiary of PrimeHoldings.com, Inc., today announced that it is rolling out a new suite of event management services… said Thomas Aliprandi, CEO of PrimeHoldings.com. "Naturally, these research and development efforts improve bCard's leadership position in the marketplace and inevitably enhance shareholder value."
5/22/02 PR: …said Mark Rauseo, President & CEO of Global Investor Solutions: "We are confident that the investment community will be receptive to the fact that bCard.net and TimeMarker operations are well-positioned to generate significant revenues."
-------------------- Invest with your brain not with your heart. Posts: 4405 | From: Bristol, Tn, USA | Registered: Aug 2004
| IP: Logged |
posted
any thoughts on this one today i am thinking of getting in, and will for sure if it breks .005
-------------------- The sun even shines on a dogs ass someday, have patience my friend ur day will come! Posts: 727 | Registered: May 2005
| IP: Logged |
UBBFriend: Email this page to someone!
Printer-friendly view of this topic
![[Smile]](smile.gif)
