GREY:CINRF - Post by User
Comment by
presto10on Mar 18, 2006 10:13am
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Post# 10523972
RE: RHS
RE: RHSVirginie - your comment about 'what does CSI know about the distribution business' doesn't quite stand up to scrutiny imo. It's not like they bot RHS and dumped mgt. RH & friends received over 4 million shares as I recall and RH became head not only of the agriculture business but the entire gps division. The distribution experties that RHS had remains within CSI. Sometimes I wonder what would have happened if CSI walked away from RHS - this would have hurt both companies immensely.
Now why in heck would RHS go out and buy a gps co!!! That was not their business- they were primarily a sales org - I think it is a LOT more difficult for a sales org to buy a gps development co. and manufacturer than it is for the opposite transaction!!! I think RHS' bed was made w/ CSI - but the threat to CSI was that RHS could sign up and start distributing other manufacturer makes - just the idea that such vulnerability was in place was compelling enough to CSI. Plus the combination was/is supposed to set the stage for growth and domination (without always having to protect your back).
I have heard nothing but great things about RH - albeit it came from Pala so you've got to take it with a grain of salt the size of the Utah salt flats. Seriously I think RH was an excellent albeit expensive addition to CSI, based on my impressions of the guy and what I was told. He is said to be extremely driven and his leadership and honesty is apparent in every call.