VIDWRX INC SMDWF

RE:Letter to shareholders from George Fleming

[TAswing]

Wow, this guys is not going to change... Everyone else fault and telling us he's going to make some more money on our back before he runs away.... I can't believe it. 

proulxm wrote:

Dear Shareholders,

 

During the call on Monday I mentioned that I would send a follow up email.  First of all my apologies for how the call ended.  I have stepped in to try and find a way to save the company in very tough circumstances.  I left in February and have not been involved in operations or in financing since then.  My advice was ignored while management ran the company into the ground without any plan for restructuring or a viable financing strategy.  Attacking me now is not going to solve the problem nor motivate me to try to help.

 

I spent many many years under continuous pressure to raise capital for the company as it struggled from being too early to market.  We were let down by everyone who said they would finance the company.  Most recently by AIP who led us down the garden path after giving us a term sheet last November and taking fees from us, and then lied to us repeatedly over several months that a financing was going to take place.  For me it was the final straw.

 

I want to reiterate that I am offering to do this out of a sense of responsibility to you and do not wish to run nor be involved in the company past any rescue attempt I am proposing.  I also want to make it clear that I will have to put in a lot of time over the next couple of months to see a recovery and restructuring plan through and expect to be paid some fees for doing so the same as the other team members and professionals.  The amount being put aside for all fees is $70,000 to $80,000 which will cover two months of expenses for myself, several managers, a sales person and accounting staff.

 

You are upset over the situation and rightly so.  So am I, the directors and all of the former employees.  All of us worked extremely hard for a long period to try and make the company a success.  This should not have been allowed to happen.  I believe the company can be saved and still become a success.  Timing is now in the company's favor.

 

However, let's be clear that in my opinion what I am proposing is likely the only option you have to recover any of your investment.  I'm certainly happy to listen to other ideas but I have spent over 30 years in the public markets and in my experience other recovery options would result in the existing shareholders being left with nothing or close to it.

 

So it's now up to you.  Without making a dollar commitment please respond to this email no later than Tuesday the 5th of July to let us know whether you are willing to make a commitment. Before we go any further we need to confirm that enough shareholders are interested in supporting a recovery and restructuring plan.  

 

I have attached the recovery and restructuring presentation again plus a corporate presentation from January - I think it's important that we take the time to review where the company was just a few months ago before making a decision to support the plan, or not.

 

 

Regards,

 

 

George Fleming