please read

this post is intended for those who have any interest in QTK........that inlcudes those who are scaremongering and posting utter rubbish on here along with those of a bullish opinion.

Most if not all of what i will detail has been presented previously but for the sake of balance will do so again now.

1.....Everything hinges on China

This is true for both arguments.QTK through its own announcements and the size of the contract with China Alarm Holdings have made this crucial to Quiktrak going forward.

It represents either a major success or a major risk.

IF.....QTK receive the Import Licence from the PRC and begin delivering Transponders into China......this stock will rocket.

IF.....QTK fail on this point the share price will fall.


2......South Africa now looms as either a smoke screen or another huge success.

I have largely discounted anything from South Africa as i too believe all hinges on China.

That being said QTK have moved with such pace in South Africa and with so little known about its plans there it is very hard to draw any definitive projections or outcomes from this country.

I also believe NONE of South Africa is even remotely priced into the current share price and as such the market is neutral on this activity.


3.......It is true the QTK cash position is NOT strong.

$2.3m in the bank is not a lot of money for a developing company.

That being said,the major expenditure has now been spent in Beijing and South Africa for revenues to begin to flow from either location and or milestone payments from partners.

It all hinges now on this quarter,if NO revenues are received this quarter from China and or South Africa....QTK will need to raise money.


4......Revenues show the Australian Operations continue to grow and are cash flow positive and it is expected this will continue.

Notwithstanding the Vantage report valued QTK on its Australian Operations only at 16.5c.......QTK closed yesterday at 17.5c.


5.......The Mark Pallister ASIC matter.

It fails me to see what this has to do with QTK but to some on here it has their full attention.

The matter is set down to be heard this month in Perth and i expect an outcome very shortly on this matter so it is resolved once and for all to those who seem to worry about it.

I will make one point as was again shown only yesterday with Geoff Clark being found guilty in a civil court of charges yet in a criminal court was found innoncent of the same charges.

Mark Pallister has already been found innocent of the same claims being made now in a criminal court in a civil court which have a lower burden or proof to which applies in a criminal matter.

Moreover,it has NOT stopped QTK securing DSS spectrum in South Africa,building a network in South Africa,builing out the Australian network and on and on and on.

I wonder what they will say when as i expect Mark Pallister is found innocent of the charges?


In summary.

As i have previously stated ad nauseum on this forum and in MY blog on this site

EVERYTHING hinges on China.

There is NO way to disguise what is so bleeding obvious.

QTK would survive losing China.....no mistake as it has enough revenues etc from its Australian operations.

However..........$380m USD is a pretty compelling number in revenues from Beijing alone.

Even if one was to take the worst case scenario of saying Beijing is only worth $50m USD

Its still huge in revenue terms for Quiktrak.

Nothing has changed and at 16.5c......the market is saying China does NOT exist.

I hope that lays it out in as plain as English as can be written

Whether anyone invests in a company or not is a matter for themselves.

QTK is a high risk stock.......if its not for you find something which isn't!