firming a little, page-7

re: time to load up Hi Munch,
Guided profit number.

BTW, the trials were done with sheep; pigs are not that docile and would have knocked out the systems: they tend to rub against anything in sight.

Do you think that the shares are expensive? VCR mentioned that they would start commercialisation at the end of 2004.

Assume they make $75 mill profit in 4 years time from now (having sold for 2.5 years into a heavy demand).

Discount back at 20% per year for 4 years and adopt a P/E of 25.

There are now about 160 mill shares. I'll increase that to 180 mil. Then, the current share price could be some $4.26. It is about $2 now.

I would think that in the US one would run VCR at a higher P/E once it has been in operation for a while.

That is my opinion,

Gerry
Please note the comments below. There is risk attached to any guided profit numbers. Please do your own research and you decide if and when to buy, hold or sell.