My understanding is that 25-30% profit with most of the US sales going through the WIC programme is very optimistic - maybe 5% at best?
My educated guess is that A2M management haven’t been asleep at the wheel but made an offer under the FDA exemption to supply a limited number of tins at a minimum margin. They would surely rather direct product to the high margin China market at this point while keeping a door open in the US but under specific terms.
Of course they could all be out playing golf but I think the former is more likely. Come Aug 29th I guess we’ll know more!
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