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you must click on this link: http://listserv.otcjournal.com/otcjournal/2001= 1223-1.html and wait for a web page to automatically open up to properly r= ead this newsletter.=20 [IMAGE]=09=09[IMAGE][IMAGE]=09 [IMAGE]=09 [IMAGE] December 23, 2001 [IMAGE] [IMAGE] Volume IV, Issue 109 [IMAGE] = Email : info@otcjournal.com URL : http://www.otcjournal.com To OTC= Journal Members: [IMAGE] "Twas the night before Christmas...." [IM= AGE] In December of 1822 a poem was written by a literature professor at C= olumbia College (now University) to amuse his children. The poem was orig= inally entitled "A Visit From St. Nicholas". One year later it was publishe= d anonymously in the Troy Sentinel, submitted without the author's knowledg= e by a house guest who obtained a copy. A New York publisher later issued= the poem, and was advised nearly universally by critics of the time that i= t was a waste of paper and ink. However, as usual the critics were wrong.= This unheralded verse managed to hang on, and after the author's death it = was illustrated with drawings from Thomas Nast and became very famous. Th= e author was Clement Clarke Moore, and the poem began with the phrase "Twas= the night before Christmas...." So much for the critics. Have a wonderfu= l Christmas. Remember, the gifts that are around you are more precious than= the gifts you unwrap. [IMAGE] Envoy Communications (NASDAQ: ECGI) Anno= unces Year End Results- Santa in Nowhere to be Found [IMAGE] Over the Lo= ng Term Market Price Action Always Tells You What's Happening Even When the= Company Doesn't, and the Market is Rarely Wrong. The Editors of the OTC J= ournal [IMAGE] Envoy Communications held a conference call this past week= to discuss its fiscal year end results (end of September). Santa was nowhe= re to be found. Based on what we learned from the call the stock has droppe= d from the mid $4 range to just under $1 in the past year because it deserv= ed to. The company revealed an abdominal 4th quarter where they lost $2.2= million EBITDA. Although they ended the year with just over $80 million in= revenues (up 38%) and about $7 million in EBITDA profits (down 30%), the t= rend towards losses is very disturbing. We have been in a tough market en= vironment for many companies, and Envoy has not been left out. Of the $2.2 = million the company lost in the 4th quarter, $.5 million is attributed to s= hutting down the Communiqu? division, and $1 million was attributed to Sage= Consulting, their technology division which will probably continue to lose= money. The only bright spot was the performance of Watt Group, their Int= ernational design and consulting firm. Watt is profitable and now represent= s 50% of the company's ongoing revenue stream. As seen in the chart, the = recent rebound in the stock has dramatically reversed course as a result of= this disclosure. In our last edition on Envoy we felt the stock was destin= ed for higher levels. In the short term, this past week's financial disclos= ure sabotaged our prediction. Sadly, we were wrong. It's not the first time= and it won't be the last. However, these financial results are a snapsho= t of the past. We are concerned with the future. In the conference call the= company indicated they expected to make $8.6 million in EBITDA profits nex= t year. December quarterly numbers are expected to be lackluster, and the= y are expecting improvements in the March and June quarters. The editors = of the OTC Journal are very disappointed that management never gave any ong= oing public disclosure concerning their 4th quarter performance. Many compa= nies are falling on hard times, but most of them are choosing to inform the= public as disappointments occur. It is evident from the performance of t= he stock that someone knew the company was doing so poorly. Unfortunately, = it wasn't us. We still believe the stock will rebound to the $2 level, al= though it may take some time. Recent new contract wins have resulted in sur= ges in the stock price, suggesting the market wants to believe again. In = the next week the stock may suffer from the final week of potential tax sel= ling. If you see the stock down near $1 it should be bought for a January r= ebound. Still to come: Year end wrap ups on XMLG (big stuff happening the= re), XMM (our favorite for 2002), and CODX. Charts Provided Courtesy Of T= radePortal.com The OTC Journal is a proud partner of the SwingWire.com O= nline Investment Community . A next generation Online Analyst Exchange prov= iding Members the ability to search, review, track and monitor some of the = Internet's best Online CAs (CyberAnalysts). Members have the opportunity to= potentially achieve higher returns by viewing top performing portfolios an= d receiving real-time alerts from favorite CAs. SwingWire.com also has = a lucrative incentive model for experienced investors and traders who consi= stently outperform the market. Share market ideas with other like-minded in= vestors, establish a proven track record, provide insightful commentary, at= tract followers and ultimately become one of the Internet's highest paid an= d most sought after CyberAnalysts! Click here to receive your FREE 30-Da= y Trial Membership with no further obligation. Sign Up Today! Discla= imer The OTCjournal.com Newsletter is an independent electronic publicati= on committed to providing our readers with factual information on selected = publicly traded companies. All companies are chosen on the basis of certai= n financial analysis and other pertinent criteria with a view toward maxim= izing the upside potential for investors while minimizing the downside risk= , whenever possible. Moreover, as detailed below, this publication accepts= compensation from certain of the companies which it features. Likewise, t= his newsletter is owned by MarketByte, LLC. To the degrees enumerated here= in, this newsletter should not be regarded as an independent publication. = Click Here to view our compensation on every company we have ever covere= d, or visit the following web address: http://www.otcjournal.com/disclaime= r.html for our full profiles and http://www.otcjournal.com/trading-alerts/= disclaimer.html for Trading Alerts. All statements and expressions are t= he sole opinions of the editors and are subject to change without notice. = A profile, description, or other mention of a company in the newsletter is = neither an offer nor solicitation to buy or sell any securities mentioned.= While we believe all sources of information to be factual and reliable, in= no way do we represent or guarantee the accuracy thereof, nor the statemen= ts made herein. The editor, members of the editor's family, and/or entiti= es with which they are affiliated, are forbidden by company policy to own, = buy, sell or otherwise trade stock for their own benefit in the companies w= ho appear in the publication unless specifically disclosed in the newslette= r. The profiles, critiques, and other editorial content of the OTCjournal= .com may contain forward-looking statements relating to the expected capabi= lities of the companies mentioned herein. THE READER SHOULD VERIFY ALL CL= AIMS AND DO THEIR OWN DUE DILIGENCE BEFORE INVESTING IN ANY SECURITIES MENT= IONED. INVESTING IN SECURITIES IS SPECULATIVE AND CARRIES A HIGH DEGREE OF= RISK. THE INFORMATION FOUND IN THIS PROFILE IS PROTECTED BY THE COPYRIGHT = LAWS OF THE UNITED STATES AND MAY NOT BE COPIED, OR REPRODUCED IN ANY WAY W= ITHOUT THE EXPRESSED, WRITTEN CONSENT OF THE EDITORS OF OTCjournal.com. = We encourage our readers to invest carefully and read the investor informat= ion available at the web sites of the Securities and Exchange Commission (= "SEC") at http://www.sec.gov and/or the National Association of Securities = Dealers ("NASD") at http://www.nasd.com . We also strongly recommend that y= ou read the SEC advisory to investors concerning Internet Stock Fraud, whic= h can be found at http://www.sec.gov/consumer/cyberfr.htm . Readers can re= view all public filings by companies at the SEC's EDGAR page. The NASD has = published information on how to invest carefully at its web site. Unsub= scribe Here You can unsubscribe from this list at any time by Clicking = Here and HITTING SEND. If you are having difficulty removing yourself or w= ish to change your address please go to http://listserv.otcjournal.com/opt.= cgi?email=3DMIKE.CARSON@ENRON.COM . =09 [IMAGE]=09=09 [IMAGE]=09=09 [IMAGE]=09=09 [IMAGE]=09=09 [IMAGE]=09=09 [IMAGE]=09=09 [IMAGE]=09=09 [IMAGE]=09=09 [IMAGE]=09[IMAGE]=09 =20 --- You are currently subscribed to otcjournal as: MIKE.CARSON@ENRON.COM To unsubscribe send a blank email to leave-otcjournal-1011326V@lyris.otcjou= rnal.com
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