reverse share split soon..., page-3

Hi Mike123

I support your comments and believe this stock will certainly improve in the near future.

In an effort to contextualise my position and to weigh it against much of the negative (often passionate and emotional) investor comments made through hotcopper, I rang the company. The CEO took the time to ring me back and was willing to speak openly and frankly about the company’s future and what efforts it was making to address some of the negative issues discussed in this forum.

It turns out that this forum has been used on a number of occasions by a couple of disgruntled former employees to air their personal opinions about the company. I appreciate that this reason may only account for a percentage of those commenting about the stock on hotcopper … but the point is interesting to note and it is being addressed by the company through other means.

The PNG deal has been in the pipeline for a while. MUL has been working with the Government of PNG to implement a legislative framework which regulates satellite communications in that country. These efforts have likely paid dividends in the form of MUL signing an agreement with PNG Telikom. The CEO was willing to say that it already had a number of clients for its service in PNG but was unwilling to project estimated revenue figures, commenting that the ASX and ASIC also prohibit it from doing so in this type situation. If the deal had, however, been a contract then the contract value would have been announced on the ASX. He did say that, though, that he was pleased with the way it was shaping up and was looking to grow its market by targeting the mining, religious and educational organisations working in PNG.

A rival company (not listed on the stock exchange, but trying to start up telecommunications business in PNG) has also informed me that the analogue landline system in PNG will only be operating until 2007 and there are limited prospects for a digital landline replacement at this time. This in itself is not surprising as landline telephones in Port Moresby are regularly cut for days because someone has ripped out the copper cabling to sell it for scrap metal and make a buck. It is comforting to know that MUL is looking at its future satellite options in a growing market.

The New Skies deal is a separate issue and is in its final stage. If you look at the financials for this company you can see it is profit making one with a solid share of satellite communications through the Middle East. This is not a bad little investment if you consider the volume of satellite traffic going in and out of Iraq and Afghanistan to support the military conflicts in those countries.

The CEO said that he anticipated the share price for MUL would drop slightly today as investors (particularly day traders) work on the news of the 1.5 cent share offer made available for shareholders. He did, however, believe that this dip would correct itself as future news of its pending deal with New Skies was released.

The only other concern that I discussed with the CEO was that of a lack of financial reporting for the company during the year. He informed me that MUL was listed on the stock exchange at a time when financial reporting was only required 6 monthly. It is for this reason, the company is not obliged to release quarterly reports. As an investor I did state that I valued the quarterly reporting because it gave me greater confidence in the company and gave me a better understand how things are going. He was willing to take this constructive feedback on board ….

Hey …. Do your own research …