Reader Interaction - 26-27 July 2006

Addressing a Pundit Commentary from the iHub Board--a Tired Trend Emerging...



26-27 July 2006
EB Reader & PK Correspondence


PK,

Are you familiar with Swartz and/or Wellington as Sputnik refers to?

Posted by: Sputnik

Good luck to you. I have followed this stock for several years. History has documented that when the Post Am is filed the selling security holders sell, not hold, especially Swartz. Considering that quite a bit is in the "Wellington" group of retirement funds a 100%+ return in two years leads me to believe that they will take the money and run. I know that quite a few don't want the past to be discussed here, but facts are facts.



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EB Reader,

Yes -- both...

Just as they (Integral's management team) were about to move forward in the marketplace with their line of Micro-Antenna products which were poised to address the newfound needs of an emerging wireless world; just after they borrowed a lump sum of capital from Swartz, a malicious lawsuit occurred. I mention aspects of that event within the Blog.

Needless to say, the impact was immediate, potential contracts were lost, and manufacturing agreements were stalled. Integral was reeling from the implications of the lawsuit, and more from the time it took to conclude.

The longer the delay, the more companies --other than Integral-- could capitalize on what at one time looked like "their" niche WiFi/Bluetooth/3G wireless market.

The suit lasted a year and a number of weeks. Integral Technologies as a company was almost bankrupt (but far from that point due to a new IP discovery), and they had a product which was no longer novel, or unique to the tech markets.

During this lawsuit, Tom Aisenbury discovered ElectriPlast (then called Plastenna).

Because of the lawsuit, they kept this discovery hush-hush for fear of the opposition possibly dragging that into court and laying claim to its creation. ((you might now begin to sense where they get their tight-lipped attitude toward the outside world)).

While all this was going on, the company still had a loan with Swartz to deal with.

Luckily, Bill Robinson (BR) took a frugal approach to the contract, and used all angles to both pay off the loan in quick order, and do so in cash--from product sales--whenever possible.

In short, he did not do like some tech companies of the time did, prostitute themselves into hock to loan companies by using company stocks...

This was how they became free and clear of Swartz and cut their ties completely. Hence, when I note that I am comfortable with the company's fiscal policies, I have a history to draw from.

What you might hear from this Sputnik may be different. If so, I won't express what I think of him or his observed tactics ~~ but I would encourage you to seek out the truth for yourself...

As for Wellington -- they are still involved with ITKG, and have reaped great rewards from their initial buy in price as a result of their focusing in Integral's direction. I would expect that bond to continue.

PK sends...