Wireless Matrix Corporation WSMXF

Recent Events

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My thoughts on recent events: Apparently there was a rumor that At Home (sp?) was going to make a buyout or merger offer. I am guessing that the rumor was sufficient to cause speculative buying that bumped the price to the $3 range. Once it became apparent that the buyout offer was not immediately forthcoming the speculators bailed out. I am a long-term holder who bought in during the ISS days at a high price and have now averaged down. I was not impressed with the ISS management and have some confidence in John Herring - he seems to have a long term perspective on the company’s prospects and will not repeat the mistakes of the past. They got themselves into a bind with the Sears order by rushing into production long before the deal was concluded which created a serious cash flow problem. The public service market appears to be the next source of a major order for WRX - police, ambulance, fire, whatever. If their system is loved by the average policeman in his cruiser the sky would appear to be the limit. And if the system is introduced to the general public in that kind of context the company’s image would receive a real boost. I can understand the frustrations of shareholders but don’t like the bashers who seem to enjoy making negative comments about the company and management. Managing any company is a very difficult job. Managing in an emerging technical marketplace in tight financial conditions is especially tough. If they can break into a well publicized market like public service and get some publicity the company should move ahead nicely and the stock price with it. Right now I view them as having an interesting technical story to tell but they are lacking the investor perception that they have significant long term growth potential.