2242749 Ont Ltd. AIIFF

RE:darkest before dawn

[Thethruthhurts]

You observations are logical but they are necessarily how the company operates. The prices for commodities required for material production are usually negotiated prior to a large job closing and then confirmed and contracted once the job is awarded. Cement powder and aggregate are annual long term supply deals and steel would fall into my former explanation. True Resins are down now with Oil but not drastically to add significant strength to the bottom line. Armtec bought LOW OVERHEAD family businesses that ran very efficiently. In the time elapsed since the divisions have been assembled under the Artmec banner all the passion and caring and knowledge has left the group. Overheads have risen drastically. Local business relationships and loyalties have left with the people that built them. Armtec as a group has the personality of rock. No depth of character or relationships. Their goal was to rule via the stock market and not in the market they sell in. Competitors are taking market share from Armtec daily. -- It will never go back to what it was. Armtec is being beaten by better companies. The reason that the weather was an issue for the production of concrete beams is that the Provincial standard has changed and the curing of these beams has to occur in better temperature controlled environments. Armtec's facilities are challenged by the weather to meet the new standards. Competitors have built facilities that allow year long production regardless of weather. Armtec is a dinosaur in so many aspects of business. They pride themselves on being a people company but what they forgot is today you need to be a RIGHT people company. Finally even if EBITDA improves what happens to the mountain of debt. Insolvency is here as stated by others smarter than me so I have to think bankruptcy is just around the corner.