Intrinsyc Software International Inc ISYRF

RE:RE:background to the arrangement

[humppyus]

A few interesting things I noticed.  Some of which are simply my perception.

1.  A lot of interesting action happened between Oct 2 and 7.

2.  I would love to know what it was that LTRX uncovered during the DD that caused them to slightly lower their offer. My guess it was the valuation of the Stream investment.  While ITC did write some of it down, my guess is that LTRX discovered it was worth Zero.

3.  I would love to know what the riskier offer option was that ITC said no way to.

4.  The commitee to excellerate growth was disbanded back in March.  This explains why the VP of sales called it quits or was asked to leave?  There never was a plan to replace him.  I remember when Tracy announced this in the Q4 earnings release my thought was that they are closer to selling ITC than we thought.

5.  Observation.... ITC really wanted to sell itself and I am not certain what they have left under the hood if they go it alone.  Maybe this is part of a plan to get shareholders to vote for this deal.

6.  Observation.... It looks like all of those Sept and early Oct order releases were either to try and get LTRX to up the price, or to give their shareholders some meat to chew on once the purchase announcement was made.

7.  Observation....Echelon was right in their comment re Canadian Small Caps when they recommened tendering.   Actually that is the only reason I haven't sold yet is because I can't find anywhere to put the money from a Canadian Small Cap or any Small Cap point of view.

8. Observation.... We are getting late if there is somebody else who may come knocking on the door.  I thought this was possible a few weeks ago, but seems highly unlikely now.

9. While I was dead set against this deal at first, I am also concerned about the option of rejecting it and going it alone.  It seems like Management and the BOD have already packed up their offices.  It also seemes like there is no real structure in place to move forward and grow.  To do that you would need a VP of Sales.

10. Observation... Yes this is a crappy deal, but...... I don't know if I am prepared for the ITC SP swoon and rebuild plan if they go it alone.  If this falls appart the entire head of ITC will be cut off.  Tracy will go, Bird, etc. and the whole BOD is gone.  Not that they were effective, but an all at once kind of departure could put ITC into complete dissarry.

My plan is to sit on my vote for a couple days and Rum & Cokes.  Then tick whichever box.