discussions from agm

REO and HR, great to catch up with you both at the AGM.

Scouse if you took the time to research this company seriously you might change a thing to two about how you post and other people on this forum might treat you with a tiny bit of respect but anyway that is not why I post to attack others.

Firstly the meeting was AWESOME. Got to ask all the questions I had of the directors. I think both REO, HR and myself all wanted to know the same things.

Questions answered:

Vodone deal: Very much still in play, SMA are building a credible brand with MyLife and can launch into lottery full speed once they have a respected billing and product setup. Advised by directors that China has many fake lottery websites and consumers need to have confidence in the company and product before taking the plunge. My Life is the most efficient way of generating cash in the short term and then they will keep branching out.

DPhone Deal:

Reading between the lines, simply installing the software on phones is not enough and too hit and miss. The strategy now is to target the ideal clients and have instant feedback on marketing rather than just installing randomly on phones. Agreement and contact still in place just focussing the dollars on the most rewarding product which they view and MyLife

Double Eagle:

On track for launch first quarter 2014 (advised by Bryan Carr). SMA are the only company providing the payment gateway and are ready to launch as the payment system is the same as my life and basically China Merchant bank are aiming to take some market share off Alipay which is a total monopoly in China. The double eagle loyalty program allows customer to make payment and also accrue loyalty rewards and SMA get a cut of the payments made.

Capital Raising:

When asked if a capital raise was imminent it was made clear that this is a continual discussion but the company is very focussed on reducing cost to become cashflow positive asap. A closing comment from Geoff Raby was that this time next year they are hoping we are discussing the level of profit, the exciting things (his words). The other point made clearly was that they will use the cashflow that is due in the next couple of weeks from China Mobile to market the products to the best of their ability and they are hell bent to start making money for shareholders.

Bryan also explained the marketing and that it is very targeted and this is their niche market. They can push apps to whatever client or demographic they choose and they are continually learning how to market the content to get the best spend from the marketing dollars.

My last point is about IAN TANG!!

He was there and discussed his ownership of 123 Education. Advised they beat 6000 other companies to reach agreement with Rovio and the plan is to take the Angry Birds learning software global. Closer to home they target families with income around $200k AUD in Beijing and their is a massive shortage of education places for children. Ian Tang owns 5 learning centres in Beijing alone and I think his contacts in China would be worth more than giving him 222 million shares for free. I think he will make all the difference to SMA.

Cant wait for quarter 1 2014 as I think if the sales continue at this pace and the money starts flowing the company will definitely be cashflow positive within 6-12 months. Then the pain will be over for shareholders and we can all enjoy the ride which will be a lot smoother. 3cents right now BARGAIN for the very imminent opportunity!!!!

REO, Highranger and myself felt much better after leaving the meeting and I am sure they will also add their feelings on the meeting. GO SMA 2014!!