Ann: Resolution of Litigation, page-53

Boom, last time they made $5.09 mil the SP was around 25c on a PE of 20 due to the $4 mil lawsuit risk and the misunderstanding about what MBE does.

They are about to deliver between $5-6 million, zero nett debt, cashflow positive, the lawsuit has gone and the industry average PE is 26 last time I checked. The NPAT might not be flash last FY, but I'll bet its remarkably better this FY along with the EPS and EBITDA.

So on this basis I see the stock is still running at a huge discount (EPS 0.8 x 26 = 20.8c SP) and that's without the market actually looking forward to what they will make this FY. That's the big question that Thorpey needs to answer in terms of their organic and inorganic growth from the performance marketing side.

The 4 companies they have aquired (PF, Egg. Vismond & Punch) have been doing an extraordinary job providing 100% returns instead of leaving their coin in the bank at 2%. Lets hope these are growing nicely with the recent update certainly rattling off some nice transaction increases etc.

Outstanding buying at these levels IMO.