Groupe Bikini Village Inc GBVFF

Death Spiral?

[DTM5]

Looking bad - losing 2 million per quarter, only 5 million of sales and 2.5 million dollars of gross profit.   Then over 5 million of expenses!!!  

Lets see - 5 million of expenses over 53 stores = 94,000 per store expenses per quarter / $377,358 per year per store.   Thats alot of expenses for retail.

They'd have to be selling on average 1 million per storre to make this work.   They are probably less than half that.   

no cash in the bank, no president / CEO, little borrowing power.   And they need cash - lots of it - to turn this around.  

IMHO, its going bankrupt or is going to be sold for a VERY low price to a larget company.   Perhaps becasue they are quebec based the PQ gov't will give them some crazy financing deal to save them???   Unlikely - But possible.

[modulex]

GBV has approximately 50-60 stores located in shopping malls. The company is under TSX delisting review until July 28, 2014. Obviously, it is not looking good in such circumstance. Book-Value is $4.38. The company has approximately 2 M shares outstanding. It has underwent a recent financing. of $500,000.00. There was a share/split 1-50 on September 30, 2010.. The company is basically a remnant or