http://boards.fool.co.uk/Message.asp?mid=10336357&post=true gives my reasons for having nominated CFE as my entry in the 2007 PaulyPilot's Pub competition.

It reads as detailed below and is IMHO pretty conservative. Cheers, Martin
*****************

Having had CFE as my entry in the 2006 competition and having now chosen it as my entry in the 2007 competition, I thought I'd better explain why I think its significantly under-priced. Provided below is a brief introduction to CFE, followed by some analysis of the possible cash and P/L impact of the franchise roll-out process which is being very actively pursued.

Worth noting that the analysis excludes what IMHO is the most exciting part of the business, the Co-Branding, in which many potential deals would lead to a step change increase in the total number of outlets & profitability, but still suggests a company that will move to strongly growing profits in the years ahead.

Feedback welcome. Cheers, Martin
***********************************************************

Introduction
Last year, in my comp entry, I stated:

UK:CFE Coffee Republic

I currently have no shares in CFE although I've managed to lose money on them during 2005. CFE are in the relatively early stages of franchising their outlets. If it goes well they will probably multi-bag from the current SP. If not, they could well crash and burn.

Rather a lot has happened since then, including the shareprice more than doubling, with a shareholder group having ejected the waster who was CE, and two major shareholders having become Chairman & Chief Executive. Rather than re-invent the wheel in terms of describing the company's history, its probably better, and certainly easier, to direct you to CockneyRebel's excellent header to the current CFE ADVFN thread, http://www.advfn.com/cmn/fbb/thread.php3?id=13077807&from=1&to=1

Also worth noting that, having got involved in the shareholder action group and bought most of my stake at well below current levels, I'm very close to having a disclosable holding in CFE and therefore may be biased!!

Fundamentals

Share Price (Bid/Mid/Offer) = 2.8p/2.81p/2.82p
Market Cap 14.4M
Shares in Issue 513M
NMS = 75000
Based on current price 02/01/07
Dividend = None
Net Cash Flow = Negative
TBV = Negative
Debt = circa 2.4m
Major Shareholders:
Steven Bartlett (CE), through his 100% owned company, Plymouth Land, 13.65%
Peter Breach (Chairman), through his 100% owned company, Surthurst, 11.67%
The website address is www.coffeerepublic.co.uk
Profitability What's a profit? They've never made one of those... and have over 8m of tax losses that could be utilised going forward...but, under new management, that should change in the 07/08 financial year which commences in March 2007. Indeed the recent interim results, http://www.investegate.co.uk/Article.aspx?id=200612201406243505O from 20-Dec-06, include the statement... no amount is provided for the value of... ...for the value of the tax losses
which amount to around eight million pounds and which we intend to make good use
of before very long.


Analysis

Using the interim results as a template for detailing the various elements of the business, CFE comprises :
(a) Individual Bars
(b) Regional Development Franchises (RDFs)
(c) International Master Franchises (IMFs)
(d) Co-Branding/'Coffee Republic Served Here'

I expect (c) to be both cash flow positive and profitable and (d) to be, at worst, cash flow and profit neutral but, due to a lack of specific data, I am going to ignore them in terms of further analysis here. However, in this context, it is worth noting that:

(c) International Franchising,
The interims detailed that the Bulgaria Master Franchise has been awarded and, given that, as per the Interims, Negotiations are in hand for a number of territories., I expect more International Franchises to be announced in the near future and going forward.

(d) Co-Branding/Coffee Republic Served Here
The interims refer to being in discussions with a number of national retailers with regards to co-branding opportunities. Indeed three co-branding trials will be taking place with a national pub operator in the near future.. My suspicion is that this element of the business could enable CFE to rapidly and profitably expand its number of outlets.

The remaining elements of the business:
(a) Individual Bars, and,
(b) Regional Development Franchises (RDFs),
are much better defined in that many of the associated numbers are in the public domain.

Consequently, in considering the RDFs and the Individual Bars, my assumptions are as follows:

(1) RDFs will, on average, cost franchisees 200k, with 20-25 RDF areas in all, with 5 area-based RDFs having been awarded to date; since these are template agreements I anticipate the costs to the business of setting up an RDF to be fairly minimal, but have assumed costs of 20k per RDF to be on the safe side, giving 180k of pure profit per RDF, with:
- the cash normally receivable up-front and/or in the early part of the agreement
- the associated profit to be amortised over the duration of the RDF agreement, which I understand to be 20 years

(2) Based on I anticipate we will grant RDFs covering substantially the whole of the British Isles before the end of the next financial year. from the interims, I'll assume the roll-out of the remaining 15-20 RDF areas will be completed in Mar-08. This may be a tad optimistic but my impression is that the Chairman, Peter Breach, is a very conservative individual, so I'm prepared to be marginally more bullish, especially as we've seen 4 RDFs awarded in the 9 weeks since the new management team have been in post; these 4 RDFs included the non-standard FEC RDF detailed in http://www.investegate.co.uk/Article.aspx?id=200611100700038619L.

(3) Based on (1) and (2), overall I'll assume 17 further RDFs by Mar-07 with average net receivables of 180k each, with each RDF to be paid for in-full over the first two years of the franchising agreement. So, across all the 17 RDFs I've assumed, that means net up-front fee income to CFE of 3.06m, with the associated profit to be amortised over the 20 year period of each RDF.

(4) The company currently has 42 outlets. The interims state, During the half year nine existing bars were franchised and subsequent to the half year end we have franchised a further four existing bars bringing the total to eighteen. I am pleased to report that subsequent to the change in management there has been a significant strengthening in the pipeline of prospective franchisees including a strong demand for new sites both direct to the Company and through our Regional Development Franchisees. Given that the company is retaining three sites, one as a trial site and the two outlets at London Heathrow, where franchising is not allowed, I'm going to assume the remaining 21 existing outlets are franchised at a rate of two per month for 11 months. Again this may be marginally optimistic but I've been very pessimistic elsewhere.

(5) On the existing outlets, the standard 17.5k franchise fee is payable together with a business transfer fee which has been widely quoted on bulletin boards as being in the range 80k - 200k. However, the figures provided in the interim results suggest that either CFE has focused on disposing of loss-making/low-profit outlets first or that, when considering what an average transfer fee might be, the top end of the 80k-200k range is rather optimistic. Consequently, I'm going to assume an average business transfer fee across the remaining 21 outlets of 90k, a franchise fee of 17.5k and costs to CFE associated with each transfer of 7.5k. This would mean on average, in cash terms, that the franchise of a existing outlet leads to CFE receiving 100k in up-front fees. So, across, all 21 outlets remaining to be franchised, net up-front fees totalling 2.1 million could be anticipated. I do not have a clear picture of the likely profit/loss impact of franchising these outlets; however each individual profit or loss will be an exceptional item that will impact TBV (tangible book value) but will not impact cash flow.

(5) Once an existing outlet is franchised, an ongoing franchise fee of 7.5% of sales is payable to CFE. Assuming an average outlet takes 6k per week, or say 300k per annum, this is 22.5k per annum of fees payable to CFE. One nice positive here is that the marginal cost to head office of supporting an additional outlet is minimal, so that this 22.5k is virtually pure profit/'contribution to head office costs'. On top of this, no doubt CFE are making a small margin on the supply chain into the outlet. Let us say this is 2% of sales, meaning another 6k per annum to CFE. So, once we get to 39 franchised outlets, that would be 39 x (22.5k + 6k) = 39 x28.5k = 1.111 million per annum towards profit/'the cost of head office' all of which will come through as cash flow.

(6) However, this is not the whole story with respect to individual outlets. Specifically, the interims state that, With the new management and business generation processes being established I expect that, over the next year, the domestic portfolio will almost double in size and overseas Coffee Republic outlets will be starting to trade. So, in a year's time, one could reasonably assume there will be another 38 (say) franchised outlets in the UK. Some of these outlets will be direct to the company and the rest through the RDFs. In financial terms, CFE gains most from franchised outlets where the RDF is not involved, on which it gains all the franchise income, so I'll assume all these 38 outlets are via RDFs

(7) The initial franchise fee on an individual outlet is 17.5k. If its through an RDF, this fee is split 50:50 between the RDF and CFE. Given that the RDF does most of the associated work, I'm going to assume CFE's associated costs are minimal and that they make 8k profit from this. The associated cash flows are up-front so that's 38 x 8k = 304k of cash to CFE over the course of the year. The associated profit will be amortised over the duration of the franchise agreement, which I suspect will be viewed as 5 years as, although the agreement is normally for 10 years, a further franchise fee is payable after 5 years..

(8) From a franchisee's point of view, the fees payable are unaffected by whether or not an RDF is involved, meaning that 7.5% of sales are payable in franchise fees. Where this is through an RDF, the RDF receives 40% of this fee and CFE the remaining 60%, i.e. 4.5% of sales. Using the 300k per annum turnover number assumed above, this is 13.5k of virtually pure profit/'contribution to head office costs'. On top of this we have the profit on the supply chain into the outlet, which at 2% of sales would be another 6k per annum to CFE. So that's a total of 19.5k marginal profit per outlet. So, once we get to 38 franchised outlets via RDFs, that would be 38 x 19.5k = 741k per annum towards profit/'the cost of head office'. Given that none of these outlets is currently open, so that on average across the year, 19 will be open, and it will take time to ramp up sales, in year 1, it might be safer to assume that, rather than 741k, the franchise income would be a quarter of that, say 185k, ramping up to 2/3 of the 741k, say 494k, in year 2 and 741k in year 3

(9) Looking further forward, and given that each RDF is, in principal, meant to be opening 5 new outlets per year for the first 5 years of the RDF agreement, I think its reasonable to assume that, if CFE achieves 38 new domestic outlets in the next year, it would achieve a minimum of 60 new domestic outlets, more probably 80, in the subsequent year, and at least 100 new domestic outlets in the year following that. To be on the safe side, I've assumed 60 outlets in what I've called year 2.

Profitability and Cash Flow
So what does all this mean in terms of profitability and cash flow?

Well, before we get on to that, the one fundamental piece of information that is missing is head-office costs? Given that note 21 to the 2006 accounts identifies that 20 people were involved in Administration, including the directors, I am struggling to believe that Head Office costs, including what was historically circa 300k for the directors, is more than 1.5m per annum, especially as the Head Office is sited in a fairly unattractive location. I will try to learn more about head-office costs from the company, at the latest at the EGM on 8th February, but the figures below suggest to me that I'm not too far out

Anyway, back to profitability and cash flow, first of all cash flow.

Year 1 (2007)
Building on the assumptions above, the cash flow over the next year would be:

+3.06m Initial fees from 17 RDF agreements (see (1)-(3) above), albeit some of this may be deferred into the following year
+2.10m Initial fees (see (4) above) associated with franchising out 21 of the remaining 24 company-owned outlets
+1.11m Franchise income (see (5) above) on 39 franchised outlets direct to CFE
+0.10m Conservative estimate of combined profit of 3 outlets retained as company-owned
+0.30m Initial fees (see (6)-(7) above) on 38 additional franchised outlets via RDFs
+0.18m Year 1 franchise income (see (8) above) on 38 additional franchised outlets, via RDFs, opened in the year
-1.50m Head Office costs
-0.25m Bank interest and charges based on experience in the 2005/06 tax year
-----------
+5.09m
-----------

Profit would be rather lower and could well still be slightly negative:

+0.15 The 3.06m detailed above, amortised over 20 years
+0.00 A conservative view on the profitability on the transfer fees and franchise fees from franchising out 21 of the remaining 24 company-owned outlets
+1.11m Franchise income (see (5) above) on 39 franchised outlets direct to CFE
+0.10m Conservative estimate of combined profit of 3 outlets retained as company-owned
+0.06m Initial fees (see (6)-(7) above) on 38 additional franchised outlets via RDFs, amortised over 5 years
+0.18m Year 1 franchise income (see (8) above) on 38 additional franchised outlets, via RDFs, opened in the year
-1.50m Head Office costs
-0.25m Bank interest and charges based on experience in the 2005/06 tax year
-----------
-0.15m
-----------

I suspect this number is at the low-end of the likely outcomes, but it is perhaps more instructive to look at the numbers in year 2, and to reflect on the fact that two strands of the business are being completely ignored.

Year 2 (2008)
So, the cash flow in year 2 would be:

+1.11m Franchise income on 39 franchised outlets direct to CFE
+0.10m Conservative estimate of combined profit of 3 outlets retained as company-owned
+0.49m Year 2 franchise income (see (8) above) on 38 franchised outlets, via RDFs, opened in year 1
+0.48m Initial fees (see (6)-(9) above) on 60 additional franchised outlets via RDFs opened in year 2.
+0.29m Year 2 franchise income (see (8) above) on 60 franchised outlets, via RDFs, opened in year 2
-1.50m Head Office costs
-0.10m Bank interest and charges assuming some of the strong cash flow in year 1 is used to significantly reduce the debt.
-----------
+0.87m
-----------

The company would also move into profitability in year 2:

+0.15 The 3.06m detailed above, amortised over 20 years
+1.11m Franchise income (see (5) above) on 39 franchised outlets direct to CFE
+0.10m Conservative estimate of combined profit of 3 outlets retained as company-owned
+0.06m Initial fees (see (6)-(7) above) on 38 additional franchised outlets via RDFs, amortised over 5 years
+0.49m Year 2 franchise income (see (8) above) on 38 additional franchised outlets, via RDFs, opened in year 1
+0.10m Initial fees (see (6)-(9) above) on 60 additional franchised outlets via RDFs opened in year 2, amortised over 5 years
+0.29m Year 2 franchise income (see (8) above) on 60 franchised outlets, via RDFs, opened in year 2
-1.50m Head Office costs
-0.10m Bank interest and charges
-----------
+0.70m
-----------

It is from this point that the effect of the franchising starts to have a more and more significant effect, with profit more than doubling the following year... ...and worth remembering that all the above analysis is ignoring two rather important strands of the business where I'm expecting to see a string of positive RNSes in the coming months.

not much interest from the regulars here but I see a worthwhile long term possibility --anyone else joined in??

I bought some time ago and I have done quite well since. In paper terms I'm on 50 percent plus but this has long way to go. The new management holds around 30 percent of the company, so they have the motivation to do well.

They have sold quite a few RDFs and one country franchise within weeks from taking over. A few years down the line they are planning to have 40 to 50 new stores by franchises.

Ive been told that on the recent evening presentation there werent enough chairs for potential franchises to sit!!

I wont be surprise if they go down the same route as Caffe Nero did. In any case the share price will go up and up.

A.

Spot on A congrats for getting in early-the new management aren't hanging around!

Lots of new openings and a shareholders open day on 28th March in London--I shall continue to add now.

The best sign to me is that at last someone is using this site again for CFE. Been in for a long time and can see this starting to motor now.
I am in profit but would not consider selling yet.

Cynic says look at Dom and Rtn but to my mind they have succeeded this is just beginning and you get a lot more shares to tuck away!

up today-interest continues.

LONDON (AFX) - Coffee Republic PLC said it has signed an agreement with Turkish company Ada Kahve Gida Sanayi ve Ticaret Limited Sirketi to develop the chain in Turkey.

The coffee and deli bar operator said the deal gives Ada the right to develop Coffee Republic Delis in Turkey and recruit franchisees to operate such outlets.

Hakan Tangulu, co-founder of Ada, said he has identified a number of potential sites, with a flagship store expected to be open in Istanbul in early July.

Tangula, a local wholesale industry veteran, anticipates more sites will follow in the near future.

Steven Bartlett, CEO of Coffee Republic, said the group has now completed two international franchise deals and continues to be 'impressed with the level of ... interest for both domestic and international franchises'.

'Accordingly, we anticipate further announcements over the coming months,' he added.

newsdesk@afxnews.com sjm/abr

Bought in this AM

Hi driver, you in this too?

I also bought some this AM. Looks good for 4-5p in short order?

Great news-I added some more. This is a real turnaround situation IMO--2 years down the line I'm sure this sp will be a distant memory.

RAS
Yes this is now looking good I sold CAFFE NERO at 25p was 270p before the cancellation of their listing, second bite of the cheery with this one.

I see our other mutual holding has just ticked down though..

From Dow Jones News:

DJ INTERVIEW: Coffee Republic CEO Mulls Expansion In Asia

By Chi Dong

Of DOW JONES NEWSWIRES

LONDON (Dow Jones)--U.K. based coffee chain Coffee Republic (CFE.LN) is looking to grow in Asia, adding to its U.K. expansion plans and new product launches, Chief Executive Steven Bartlett told Dow Jones Newswires.

On the back of this expansion and a pledge to cut head office costs by 25% by the end of the new financial year, Bartlett said, "We hope the company will be cash positive by the year ending March 2008."

Bartlett said the company is in negotiations with investors from Pakistan, China and India, with further interest in franchise opportunities from elsewhere in Europe.

He was speaking Friday after the company announced an agreement with Ada Sanayi ve Ticaret Sirketi, or Ada, for the Coffee Republic Deli franchise rights in Turkey. This follows a similar deal in Bulgaria last December.

In the U.K., Bartlett said the company has created Coffee Republic sub-brands, Chocolate Republic and Tea Republic, ahead of the launch of a range of new products for the summer. These include Thorntons Hot Chocolate, Rolo Latte and Jaffa Cake milk shake, while it will also launch a range of flavored smoothies and juices.

The newly-appointed CEO, together with Peter Breach - the new Chairman, led a revolt last October that ousted the coffee chain's founder, Bobby Hashemi. The revolt was led by rebels who said the company had been too slow to expand. When founder Hashemi left, the shares rose more than 20%. At 1540 GMT Friday, Coffee Republic's shares were up 7% on the day, at 3.26 pence, in a broadly lower London market.

Since taking over, the new board has concentrated on expanding the brand by franchising across the U.K. and internationally. To support growth abroad, the company recently appointed Alan Ainsworth as its International Franchise Director, who commences work next week.

"Alan has great experience from many well know companies, like Pizza Express and McDonalds," Bartlett said.

As a measure of his optimistic outlook for the Coffee Republic business, Bartlett said he is selling off his other business interests to increase his holding in the company.

"It is such great brand," he said.

Bartlett has holdings in a number of property businesses, Subway franchise stores and pubs in South West England. He declined to give a valuation of his overall business interests, but Coffee Republic has a market cap of GBP16 million, of which the CEO holds 13.6%, worth just over GBP2 million.

Both Bartlett and Peter Breach, the company's new chairman, are paid in shares rather than cash, and their total holding in the company is 29.2%.

They are talking with the U.K. Panel on Takeovers and Mergers about whether they can raise their stakes when their share payments are made without triggering the need to make a general offer for the remainder of the company, usually triggered if their holding rises above 30%. Bartlett said he is positive about the outcome.

As previously reported, in the U.K., Coffee Republic will double its stores to 84 from the current 42 in the next financial year, and will run all 84 stores as franchises.

They might do a Nero here....

Apterea
Lets hope so.

What are all you people doing on this thread, please leave moneyplus, Apterea and I to converse alone. (Joking)

lol laurie!

driver -bought cfn at 23p and coh at 1.1p. Not in here yet but looks interesting.

zscrooge
Well done on those two, this is looking good I might top up om Monday, after reading post 15.

i understand the enthusiasm you guys have for this company but would ask whether or not it really has a future ..... Starbucks, though i personally think their coffee is vile, is surely (UK) market leader by miles; Costa is quite small but has excellent high profile outlets at the airports as well as at many service stations; Cafe Nero (i think it still exists) is also reputed to be very good ..... on the other hand, CFE has really struggled and had to close its outlet in Marlow (bankrupt!) ...... with the directors now holding 29/30% of CFE it would be very difficult for a predator to take over the company unless "friendly".

In many ways, i see a comparison of CFE with (say) Starbucks like Wimpy against RTN ...... is further explanation required?

Management commitment looks almost unparalleled, but cash looks likely to be the determining factor in the short term. Too risky for me, but a lot of outsiders won at Cheltenham this week......

agreed .... though it is always good to see management putting in its own dosh, there are certainly downsides as i outlined above ..... iny any case, what is CFE's USP (unique selling point) that would seduce customers away from the opposition? ..... i also rather suspect that the UK market is already fairly saturated for this type of product, especially with so many small cafes and even pubs catering for this market.

as an almost irrelevant aside, the fact that mr bartlett also holds subway franchises does nothing to enhance his image in my eyes ..... all 3 of my children (early 20s actually) reckon that product is absolute rubbish ..... again, there is an outlet in Marlow which looks to be struggling, so no vote of confidence here either

Topped up this AM

shareholders open day on the 28th-I would like to have gone. It's unusual for a co to put on something like this for small investors--confidence should be boosted further so I have high hopes here. Steven Bartlett has announced he is selling all his other business interests to concentrate on cfe also he and the chairman take their salary in shares until the cash flow is better. they have a solid reason for producing the goods!

Mp
I agree take no notice of cynic his got no taste buds.

that is as may be, but you do not answer the very relevant Q i raised .... to repeat ... what is CFE's USP?

When I saw one I decided to check it out before buying any shares. Good service, clean and smart, nice coffee and sandwich but the real plus for me was being able to buy a daily mail to read with my coffee!! ok I know the Times etc is better reading but I thought that was an extra touch of service. Each franchise will reflect some individual touches I expect---I'm looking forward to trying Tea Republic and Chocolate Republic ( chocolate smoothie, rolo hot chocolate etc a chocoholics paradise!) these are in the planning stage but IMO innovative and deserve to be successful. As you say cynic a pretty average coffee can be purchased anywhere but to me CFE has unique selling points to keep their customers loyal.---and you can buy a whole chunk of shares at bargain prices for the time being.

exactly that point MP ..... perhaps they have got their act together since their Marlow days ..... only minus is that you had to BUY your paper whereas Starbucks has them free ...... keeping your customers loyal is a good first step, but you need an expanding market as well the ability to take customers from the opposition ....... personally, i think the coffee shop scenario is now saturated so this whole sector is not for me.

er, what about eastern Europe?

perhaps i have missed something, but i though CFE was UK focussed .... If they are, but are thinking of venturing further afield, it may not be bad advice for them to secure their base first

48 eager new franchise buyers queuing up to get opened in UK---plus rolling out in Bulgaria 1st one in sunny beach open any day---now a new deal opening up new outlets in Turkey. lots more info on the other side.

am bound to be wrong, but as i said, not for me ..... being eager to open a franchise and making/keeping it profitable are very different animals

DJ MARKET TALK: Coffee Republic Placing Fuels Expansion -Teather

1223 GMT [Dow Jones] Teather & Greenwood says Coffee Republic's (CFE.LN) 37.4M share placing will fuel the franchise pipelines. "It is definitely positive to see CEO and financial director backing it (the placing) by buying more shares," says analyst David Stoddart. He adds: "Just by looking at our numbers it is entirely possible for the company to achieve positive EBITDA by 2008." The brokerage currently keeps 2007 forecast at a loss before tax at GBP2 million and sales at around GBP10 million, adding that earnings improvement will depend on how quickly the company can roll out its franchise operation. Shares -0.8% at 3.32p. (YQD)

hardly a ringing endorsement .... looks a neutral stance to me until the company actually starts to perform

Shareholder Day

http://www.coffeerepublic.co.uk/uploads/1172161820.pdf

Is there a shut off date for qualification to the rights issue?

Torygraph

Coffee Republic
3.33p -0.025p
Questor says Back rights issue

Back in October, Coffee Republic's major shareholders - led by 13pc holder Steven Bartlett - ousted co-founder Bobby Hashemi from the boardroom after a five year decline in the share price which cut 94pc off the company's value.

Bartlett was appointed chief executive and has set about transferring the vast majority of the group's coffee shops to franchises, whilst hoping to develop a business providing branded self-service machines to national retailers and pub operators.

Coffee Republic announced yesterday that it had raised 935,000 in a share placing to finance its expansion plans.

Alongside the group's management, those understood to have invested in the placing include Jim Slater, an original backer of Hashemi. Coffee Republic is offering existing shareholders the opportunity to invest on similar terms to the placing: with the opportunity to but one new share - for every 20 shares they own - at 2p. Details of the offer will be posted in the coming weeks.

Although Coffee Republic has disappointed investors on countless occasions over the past five years, the new management team appear to have found a niche for the business which might just work. Given Jim Slater thinks so, shareholders would be well advised to take up their rights when offered.

Got my answer to post 38 from the other side, but there is a debate so below might not be so.


Just spoke to a Roy Vallant(?), the financial controller. He said that I'm too late ;-( but people holding yesterday when the announcement was made will be elligable for 1:20 2.5p shares.

Others say a cut off date has not been announced-we'll have to see. Apparently JS is in for 30 million shares!!

The offer date will be set in the circular when it is sent to shareholders if you notice they expect 700,000 from the sales to shareholders. So divide by 2.5p.

Coffee Republic PLC
29 March 2007

29 March 2007

Coffee Republic plc ('Coffee Republic' or the 'Company')

Open Offer Record Date

Following the announcement regarding the proposed open offer to shareholders of
the Company on 20 March 2007 ('the Open Offer'), the Company now advises that
the Open Offer is open to all shareholders on the Company's register at 4.30pm
on 28 March 2007. Coffee Republic also announces that it expects to post a
circular to shareholders setting out details of the Open Offer no later than
close of business Monday, 2 April 2007.

Contacts

Coffee Republic
Steven Bartlett / Simon Drysdale 020 7033 0600

All asleep on this thread?

Well dozing.... while waiting to see how many new shares I've got from the excess offer :>)

Result of Open Offer

http://moneyam.uk-wire.com/cgi-bin/articles/200704270700556249V.html

Didnt get many extras so topped up at this price.

CFE???---

By Gad Sir I do believe you to be right!

A Double it is without a doubt.

Coffee Republic plc ('Coffee Republic' or 'the Company'), the
independent coffee and deli bar operator, announces that an agreement
has been reached with FIMY Ltd ('FIMY') for the UK Regional Development
Franchise ('RDF') for The Channel Islands.

http://moneyam.uk-wire.com/cgi-bin/articles/200705150701245855W.html

Well done Barty! Havent seen anything yet on the Croydon opening but will keep an eye out on my next shopping trip.

Now a much better place to put your loot.

You have to take your hat off to a management who put their hearts into making something go.

Buying a few share would not go a miss too.

surprised the sp only rose a tad on such positive news! with potential franchisees queuing at the door--this will reward patient holders very well IMO and I've added a few today.

mp
Still here then.

very much so! I'm planning to stay away from the sell button on these and hold for the 2 years at least--they may go up like DOM- in fact should go up as all the signs are there. A branch is opening in Plymouth on the 21st so I'll report back on it.
when I look at some I've sold miles too early I could kick myself---CLE, YSP,HMY and PAY to name just a few of course others like PCM I sold too late.

mp
Im with you on these, hold and accumulate bought a few more last week.

Romania Master Franchisee - 17th May 2007

Yet another territory has been added to the burgeoning International portfolio of Coffee Republic with the signing today of Romania with KRRUSS HOLDINGS S.R.L. Headed up by Salim Thava and Shaf Ali this entrepreurial property and retail group are very excited about the prospect of bringing the Coffee Republic Deli Bar concept to the country.

This bits good "We have now completed three international franchise deals and are at an advanced stage of discussions with further territories.'" :>)

this is now an exciting growth stock to be in---I think the new CEO and his board are turning this co. around rapidly considering they've only been in since Oct o6.

his 'coffee mornings' are quite unique too :>)

Nice bit of news as I sit here drinking my decafe

Coffee Republic steps up European expansion
By Emma Thelwell
Last Updated: 1:08pm BST 18/05/2007

http://www.telegraph.co.uk/money/main.jhtml?xml=/money/2007/05/18/bcncoffee18.xml

Well done to the new team---a golden acorn IMO!

thanks driver good right up in the telegraph think i will top up monday befor they go up..........again

In answer to the header of this thread.

Probably as COH holders wise up and rightly jump ship they will be buying CFE!

Tomorrow will be an interesting day!

Message for CFE.

Fly you little devil, you deserve to, if not only on the efforts of the board of directors.

This is the kind of innovation that made British business great!

Make a bag full, chaps its looking better all the time.

Have a great day.

Well shes flying now!

Looks like we are on break out.

10p by december as it has already doubled! I checked out the new Plymouth one today on it's opening day. It's looking very smart indeed and the staff slightly nervous but very anxious to please-- took a late lunch and tried a delicious tuna melt and toffee crisp coffee{only for the sweet tooths!! } A decent number of customers for 4pm. sure to do well.

Joined the cfe club today.

I will be there on the weekend moneyplus as its not that far from me.

Definately great progress.

I would like to see all COH holders switch-- be great for both their wealth and health and at least you can trust Barty.

cape
Welcome aboard do you take sugar.

TWO,espresso,i am in a hurry!!

cape

OR

Diver,i could french kiss a mousse!!!so all three,cheers fella!

mp, is the plymouth branch in the new shopping mall?

No it's on Mutley Plain right near the university--so should have plenty of student customers and much lower overheads. the new mall might be next as I believe they have plans for 3 branches in Plymouth.

m+, many thanks I'll have a look at the weekend.

I would suggest that David has a personal beef with Richard Worthington and you should base your interest in COH on recent results rather than his personal vendetta... and I don't think there is much chance of COH investors selling out to by CFE... Good luck though as CFE seems to be doing well at the moment...

Adie, why not hold both & hedge yr bets?

I too would suggest that you base your interests, if indeed you have any, in COH on its recent performance.

I have no "personal beef" with Richard Worthington far from it. I would not want to be on a personal basis with man who keeps his shareholders in the dark.

Barty, well now thats different, and thats why I feel that selling COH and buying CFE would be a more heathy and profitable option.

I am sorry if AdieH tends to go a little over the top but he clearly has a love affair with COH.

silvermede if you're looking for cfe mutley at the weekend it's nearly at the end of the row of shops on the left hand side -going towards the city centre.

m+, Many thanks

I know COH very well and am not totally convinced by CFE yet but good luck to you all...

AdieH if you know COH that well as you claim, kindly tell us why on earth the board is keeping all its loyal and faithful shareholders in the dark over this recent sell off please.

That discussion is for COH thread, I was just enlightening your following here that you have a personal beef with RW which is possibly clouding yr view... and in my humble opion COH is still a good buy for med/long term growth...

AdieH just because I find Mr Worthington to be an unreliable person does not mean that I have a "personal beef" with him over the rigths, interests and the protection of shareholders' interests.

Certainly Mr Worthington's continued silence on the recent dump of a large portion of his company's shares is hardly helping his cause.

Would you not agree?

COH...big bounce back to the 40's just around the corner.

Its in the public domain as to why empik dumped their shares, an RNS will be issued if they have dropped below the notifiable level (which we believe it has)... No need for a CEO to quote that... Nothing has changed with COH.

Well done AdieH bravely spoken.

COH could return to 40p+ next week...what do you think Dave the Rave.

Thought this was the CFE thread ?

Thread reclaimed.

Quite right and well said.

The COH boys are begining to get a little nervous what with all the share dumping, big over hang and now a well managed professional outfit with top quality products as has CFE entering their patch, its no wonder they are jumping mad.

And of course posting everywhere as if to justify their positions, weaken as they appear to be.

COH is for the COH thread for the moment, Room 101 may though be calling-

driver

Dave the Rave thinks that COH is the CFE thread as all he does all day and night, week after week is slag off COH and ramp CFE...he is a very naughty muppet.

Therefore if it is OK for him to to this then it is OK for me.

Have a nice day.

Sir at the moment given all the confusion over COH it is certainly expedient to draw people's attention to that fact.

I do not consider that to be slagging of as you crudely express yorself.

CFE on the otrher is doing extremely well a deserving of a good word for excellent quality all rounf expecially that of the manahement.

I would not have bothered again with a further one sided comparrision of CFE to coh .

However if I were to be found holding COH I would abrupting as EMPIK did---- sell them!

Then I would promptly buy CFE, as they seem to know what they are doing.

COH went from 11p to 50p...I think they know what they are doing and it won't be long before they will return to that level, where as CFE will drop as soon as the news dries up.

Have a nice day Dave the Rave.

bmw325
Why dont you just sell half and buy CFE like I did last week with ASM sold half and bought OXB you then have the best of both worlds, problem solved.

LOLOLOLOL....

Yes it did and it was an admirable riase for it shareholders.

The problem was that it did not stay there as there was nothing to support it at those levels.

It has yet to make a decent porfit in what someone on iii said was a no brain business, ie hot milk,water, a bit of coffee, some sugar and a paper cup!

bmw325
Well if you had done that a few weeks back you would be in profit on CFE instead of seeing your profits dwindle on COH. LOL LOL LOL

That reminds me of CFE...LOLOLOL.

bmw325
If you do not want to take constructive finical advice from this board I suggest you remain on COH. LOLOLOLOLOL

I top sliced COH and bought CFE a few weeks ago, and have added since, avg=abt 3.7p. Hope to buy more next week when some money comes in. I want to eventually hold more than a million of these. Just hope they don't consolidate the shares though, I hate that.
I however have an open mind on BOTH companies.
He who dares wins eh!
UC.

you might win more if your judgement was not clouded by plagiarising my handle, and thus presumably my methods!

Now we just need Diet Cynic (for those trying to cut down on Cynical comments).

Does this also mean Cynic needs to rebrand as "Cynic Classic"?

Strawbs.

I personally don't like the Franchise route CFE are taking, why are they persuing this route rather than funding expansion themselves? I can see the benefit in the sense of not having to raise so much captial yourselves and also tying in other peoples money so gaining a degree of loyalty but it must limit how far you can grow the company... Investors would rather invest in something more tangeable and also something you have slightly more control over than a franchise business? Just trying to get some positive thoughts on CFE... Regards.

How about Ultimite David Cynic or Waxman Cynic....

Well Said AdieH NICE TO SEE YOU DONT LIKE FRANCHISES.

KFC, SuB Sarnies. Wendy's, BurgerKing, Big Mac PIZZAHUT, CocoCola STARBUCKS ETC ETC

ps In the New York USA there are 2000 BIG MACs per sq klm

David10B
You forgot dom 50p to 700p

Yes of course and thank you but I could not list all the great franchise operations they would accuse me of ramping.

BUT IT IS NICE!

Looking through old shares mags- Nov 2001 dom was 43p! I thought not much future in pizza--what a numpty!! Adie if you look back at the old management the company was rapidly heading down the pan with only certain people making any money---the change since the shareholder revolt and new management only since oct/nov 2006 is enormous! franchise removes a lot of the burden of costs etc and brings in a steady income, they had 84 new ones waiting to get started at the last update for the uk, plus 3 confirmed international contracts, there is a possibility they might go into china etc----you do the sums!! plus they are keeping the most profitable outlets in house. do the research Adie and you will find more to interest you. I have confidence and the sp has already doubled--it's up to you if you 're in or not.

Cheers for your point of view, it's on my radar...

I bought in at 24p because of strong innovated management.

Imagine what Barty would have done with COH if he was at the helm from the start.

EXPLOSIVE.

mp
This isn't any thing to do with you is it?

http://london.craigslist.org/mis/330441549.html

Probably David10B after his visit to a pub... Care in the community...

Aw shucks I attract attention where ever I go!! now where's my dark glasses?
wet and miserable down in devon-thanks for cheering me up.

BMW, I've mailed cynic about the plagerism taunt on the internal MoneyAM email system. It will be interesting to see how he responds.
UC.

LOL

I think Mr BMW is rather sorry he is not in CFE right now.

They were not offering than much for large chunks of COH shares to sell on Friday.-
Perhaps they will get harder to push as the coming week unfolds, whence I expect to see CFE moving more boldly.

If I was in CFE I would be seriously considering jumping ship...can't see much upside without more news.

cynic is not the real cynic. There was one before but sadly he died.

The Cynics were a post-Socratean school of philosophers in ancient Athens.

by the way, just read the rambling e-mail ..... en passant, the word is "plagiarism"

I love this BB, so educated and enightening, peppered with the occasional nutters who think cars are to run over people with and for non de plumes.

"enightening"...LOLOLOLOLOL

et "non de plumes"??????

LOL...

as in BMWs etc

Lowry Centre - "A" board advertising CFE at the top of the escalator.

Franchise Agreement

Regional Development Agreement & Greene King PLC Agreement

http://moneyam.uk-wire.com/cgi-bin/articles/200706010700525850X.html

1/6/2007
Coffee Republic expands into pubs

The line between pubs and cafes is becoming less clearly defined
Coffee Republic and pub operator Greene King have announced plans for a partnership that aims to give boozers a more European cafe atmosphere.
Greene King will put Coffee Republic machines in 28 of its London pubs as the company looks to broaden the range of drinks it can offer consumers.

The pub industry is undergoing a period of radical change as opening hours are extended and smoking bans are enforced.

As a result, many pubs are looking to offer more food and softer drinks.

'Dusty cups'

Coffee Republic said that while many pubs have previously offered coffee and tea, they have not always been of the high quality that consumers expect today.

"People won't accept that dusty old coffee anymore," said Steven Bartlett, a spokesman for Coffee Republic.

He added that people were willing to pay 2 for a cup of coffee but only if it was a premium product.

Coffee Republic already has an agreement with retailer WH Smith, where it provides drinks in some of the firm's shops.

Mr Bartlett said the company was looking to increase the number of partnerships it was involved in.

Other coffee companies have also examined ways of boosting their range of offerings.

US firm Starbucks recently launched a record label that will distribute Sir Paul McCartney's new album.
http://news.bbc.co.uk/1/hi/business/6711333.stm

another new area sign up also announced today--this is looking very long term rewarding!!

mp
i'll drink to that.

That's more like it up 4%+ on the news.

GIVE THE MANAGEMENT A PINT CHAPS, NO ON SECONDS THOUGHTS FOR THEIR GREAT EFFORTS GIVE THEM A BREWERY!

Minus 5.5% today David. Looking a bit overpriced at these levels?

bound to be a bit of profit taking after a good run up. bet we have some more good news soon though.

Aye to that.
UC.

Apologies for posting again on here, and I will add that although I have no holdings in these, I am watching with interest.

You will be glad to know that we have the resident muppet safe and well on the COH thread but sadly he has gone quiet.

Could you tell me how many freehold sites CFE have in their portfolio.

He certainly has since COH fell as I said it would anyone know of the whereabouts of AdieH

Does anyone know how many freehold sites CFE have in their portfolio.

yet another nasty chart unless there is a sharp bounce back up through 50 dma ..... not as ugly as for COH, but nevertheless ......

well posted

How many freehold sites does CFE own..

Should CFE fall to 3p I will buy 2 million.

SHOULD COH FALL TO 25P. I WILL SAY I TOLD YOU SO.

THATS THE DIFFERNCE.

How many freehold sites does CFE hold..

bmw-as they are going more and more down the franchise route in the uk and internationally your question is confusing as I woudn't think they own any freehold sites or would want to. you could always e mail them to ask. I do know that they have retained ownership of several key profitable sites such as Canary Wharf, Bluewater and their head office site in central London but probably leasehold while the franchisee queue is growing rapidly looking for suitable sites.

therefore presumably the company has little if anything by way of hard assets insofar as leaseholds de facto depreciate

cynic
That's right just like CAFFE NERO that went from 25p to 700p+ building up there franchises over a couple of years.

if so, then fair comment .... NERO actually had a good product (i happen to think Coffee Republic's stuff is vile but then i think the same of Starbucks too), and if memeory serves me right, they were then bought out ..... im(lousy)o, since then, the tide has turned somewhat against these tiddly coffee outlets, as there is so much other competition in the market.

cynic
Sorry forgot to mention DOMINO'S PIZZA also did the same thing, there is competition in the market thats why CFE are spreading their wings and venturing aboard their world is their oyster.

can't really compare DOM (or RTN for that matter) with CFE/COH - same sector but totally different product etc

You MUST give credit to the drive of the board---if every PLC worked this way it really would be a Great Britain

I like the drive of the COH board especially RW....amazing chap.

BMW YOU ARE NOW UNSQUELCHED.

I FIND YOUR POSTS TO BE UNEDUCATED, UNBALANCRED, BIASED AND RUDE.

I HAVE FORMALLY REQUEST THAT YOU BE REMOVE FOR BRINGING THIS BB INTO DISREPUTE.

You latest post is without foundation especially when one considers the plight of BKE hareholders and the failure to notify shareholders of the EMPIK dumping in a timely manner.

Is has now become obvious that you have more of an interest in protecting you holders over the the truth and you care not if you bamboozle other as long as you can try to keep the SP of COH.

I sold some MLR today, it was a BIG BOY'S decision as I felt the was drifting and may well drift lower in the absense of news. It could even drift to the lastest new offering price of 10p its quite feasable, but that does not alter its long term prospts as great safe share. And my posting was definately no deramp as is clear to be seem.

Its seems to me that you are a devious dishonest person and that you should rightfully be banned for your totally incorrect postings and failure to enter into a reasoned debate.

You will now deramp MLR to try and get back in cheaper.

Grow up chlld-someone may take your dummie away-

You appear to be a bit tetchy at the moment...better watch the old ticker.

Grow up chlld-someone may take your dummie away-

The truth always hurts...

dont be an idiot, Grow up chlld-someone may take your dummie away-

Calm down...dear

grow up child

Tenby

Calm down and stop bullying me...or I will report you to Ian.

grow up child

Is this the Coffee Republic thread???

No it's the CFE Kindergarden.
UC.

David10B have you been given your rattle yet in exchange for the dummie you threw away?

YEP AND ITS LOOKS LIKE I PUT IT TO GOOD USE AS I AM USING IT TO RATTLE THE RAMPERS

You're not rattling me David, I'm just having good fun during the summer doldrums awaiting sustained share action in an upwards direction. I've a feeling we're going to have to wait a few months yet though!
UC.

You will not see any upward action on this one my friend, put your money into MLR or CFE if you want a fliers.

COH IS DEAD IN THE WATER

I think you're on the wrong thread. This IS the CFE thread.
UC.

I know I have been trying to tell them that, seems they like CFE better.

More dilution! that's why the SP has been drifting lower. Just hope 1 for 10 consolidation doesn't come next.
UC.

3 outlets in Turkey due to open in July and the Turkish franchise operator reported strong demand from new franchisees wanting to open in all the popular resorts so cfe are moving fast to satisfy demand. all very good news as there are new openings in the uk pipeline as well---scotland here we come!! I just hope they aren't expanding too quickly and trip up.

bit of a bummer today in the news eh Chaps?

May now even fall back to the issue price of 2.5p as CFE needs a lot of funds.

However a short term disaster, long term onwards and upwards.

I have no problem holding this one.

COH appears to be blue again...LOLOLOLOL

Anyone slightly concerned about the RNS, discounted issue again... PI's not invited to join... Do you think the sp will slide back to issue price of 2.5p...

It is, as stated a bit of a bummer, and it could well drop back under the current circumstances.

But that the share game for you no need to get all bitter and twisted as you can clearly see I take these things as they come and not child like as its a BIG BOY'S game.

Tenby

So you are not bitter and twisted over your loss with BKE...LOL.

Please dont be silly, how could I be never owned them

Oh yes you did...you little fibber.

Well stop gobbing and lets see the facts on the table please.

jim_Bentley Davis

Do you think BKE will reach 1 or do you think it will stay below 1P...

A small dilution to raise a small amount, if they think they need it so be it positive talk as always, anticipated growth in international franchising.

Still holding long term.

My concern about the RNS is the quote about needing to build the back room/support staff... They are raising cash to increase the headcount... A little worrying you would have thought they might be able to do this with the increase in profit...

Good morning AdieH yes that RNS for a little amount of money has certainly done its damage and the SP has suffered falling back sharply.

There are some excellent posts on ADVFN which I have just finished reading more indicate the pitfalls of being in CFE at these levals and question the whole financial structure of CFE and it management.

So of which I must agree with as it does seem rather a silly excerise to come back to the market for more cash so soon.

Much like COH only difference being is this time CFE really needed the money.

I would not be surprised to see CFE fall below 3p.

I of course will be a buyer.

Have a great day and enjoy the BIG BOYS game

I'm still watching these closely but the thing that really puts me off is the financial state of the company.
Can anyone post how much cash in hand they have at this moment, and how much debt is owed.
The new management have worked wonders so far but the fact remains they are struggling for cash which is it not a good sign with all the activity they are creating.
I'm not so good on the numbers when it comes to investing but from what little I can work out this one seems a massive gamble.
David, this is a genuine post for info and not a wind up.

It is a gamble and a hard one to work out.

I think the board is going for gold or bust, ie to get as many retail outlets going as possible in the shortest possibe time and in the cheapest possible way ie franchising.

Once this objective is achieved the rest is pie all the way from organic growth.

Its a good stragegy which should pay off, certainly franchised areas giving out to date look very encouraging indeed-

Personaly I believe that CFE is doing exactly the right thing, as when one looks at coffee retailing, the whole darn sector is on fire and the competition is very intense, which incidentally is why I feel COH has lost the plot.

CFE must move now and extremely fast going for maximum expansion, but its extremely risky as opposed to the COH styled expansion as in this game slow steady growth really is an option as COH revenues, or lack of them, clearly show us

However the following has had a mixed reception:-
"The Board of Coffee Republic is pleased to announce that 26,000,000 new
ordinary shares of 0.1p each (the 'Placing Shares'), have been conditionally
placed at a price of 2.5p per share (the 'Placing')."

As with all these I am sure that a placing to the private investor would have been snapped up and as usual it stinks of institutional prefernces


I feel the SP will drift back, but it is still a buy, finding the NAV right now is speculative as is the best price to buy in.

Long term buy on product and management.

Take a look at this from the Motely Fool( all acknowledgement them).

It emphasises the value of the NAV which I keep on about.

Now I own 4 million + CFE shares and it bothers me not to reproduce this article here as I have faith in the very long term prospects of the company under its current management.

BESIDES WE SHOULD ALL DISSECT COMPANIES ON THESE BB NOT JUST RAMP THEM BECAUSE WE ARE IN THEM.

The management will pull CFE through even with little intrinsic asset base.

Sadly this cannot be said about some other coffee companies which I opine about here.

LET ME KNOW WHAT YOU THINK--from the Motely Fool.

What Not To Buy: Buying Ten Pence For A Pound

By Alun Morris | 14 June 2007
|
'I set off with about 40 quid to an electrical wholesaler just off Tottenham Court Road in London. To cut a long story short. I bought a load of car aerials and started selling them to trade customers. By 2pm I'd sold the lot and went back and bought more. By the end of the day I made 40.' Sir Alan Sugar

That's one way to make money -- buy something for less than it's worth to someone else. Now shares aren't car aerials, you can't turn a profit by driving a van round Docklands offering them to investment banks. It's both easier and harder than that. You buy them for less than you think the market will price them sometime in the future and you sit and wait.

Wheeler-dealer trading is the East End geezer equivalent of Ben Graham's "buying a Dollar for fifty cents." Graham would buy shares that were trading at big discounts to their realisable assets, figuring that Mr Market had temporarily mis-priced the stock.

Turning this on its head, if you pay far more than a company's net asset value (NAV) this may seem a sure-fire way to lose money. Well, not necessarily. There are great companies on large multiples of NAV. British Sky Broadcasting [LSE: BSY] trades at 98 times NAV, Reuters Group [LSE: RTR] at 52. These firms are profitable, are very strong brands and have large moats to fend off competition.

Filter coffee
A filter of lossmaking shares with high price to NAV ratios threw up a familiar name: Coffee Republic (LSE: CFE) . This would-be Starbucks emerged with new management last year after a disastrous run under its founder led to a shareholder revolt.

NAV is 1.8m but that's only because two share issues this year raised about 1.2m. It is a bulletin-board favourite, has vigorous management and has announced five franchise agreements since February. Unfortunately it has never made a profit and is trading at 11.7 times its NAV. The house broker is forecasting more losses for 2007 and 2008.

I've not drunk its coffee, but location and the colour of the sofas are way more vital for the Double Tall Amaretto Chai Latte Chiller drinkers.

Coffee Republic may succeed but it will take years. The market is becoming saturated, the share price is too high and the shares have no downside protection. It is well qualified for the What Not To Buy portfolio.

Here's the What Not To Buy table so far. Cost is the best quote from an online broker.

Buy date
Company
Cost p
Now p
Gain/ (Loss) %

March
Griffin Group (LSE: GFF)
2.5
2.12
(15)

April
British Airways (LSE: BAY)
507
436
(14)

May
Patientline [LSE:PTL]
4
3.63
(9)

June
CoffeeRepublic [LSE:CFE]
3.37




Warning: this is not a portfolio of companies to short sell. Luck and speculation may send values up sharply.

Coffee Republic arrives in Turkey
Saturday, June 9, 2007

Coffee Republic, the famous British coffee chain, will start operating on Turkey this summer by opening two cafes in Istanbul's Suadiye and Nişantaşı districts. The chain aims to open 20 stores in Turkey in the future

After Starbucks and Gloria Jean's, which open new branches one after the other, famous British coffee chain, Coffee Republic, has decided to open cafes in Turkey. The chain is expected to have stores all over the country after opening the first in Istanbul's Suadiye in July and the second one in Nişantaşı.

Hakan Tangand Selma Hisarlı are the ones behind the plan to introduce Coffee Republic to Turkish coffee lovers. Tang who has worked in the cosmetics sector for many years and Hisarlı, who is a meteorologist, work as the joint chairman team of Ada Coffee that brings Coffee Republic to Turkey. Their goal is to open 20 stores in Turkey in the next five years.

In addition to coffee, the chain will sell salads, sandwiches and pizzas. Foods and drinks will be prepared in front of the clients. It will be a rule to serve all food, except pizzas, to clients in at most three minutes. In addition to the original menu, Coffee Republic in Turkey will also sell local tastes like Turkish coffee and simit, said Hisarlı.

Tangsaid the coffee machines in their stores are manual and serving coffees will be a part of a show.

Before opening the first store, Tangsaid the company received many franchise applications. We received applications from Ankara, İzmir, Bursa, Antalya and Istanbul. There is also a British person interested in opening a Coffee Republic shop in Alanya. We are still examining the applications.

Hisarlı said that coffee consumption in Turkey is still minor when compared to Europe.

and the above is undoubtedly and advert/placement and also read the last line!

CFE is taking another hammering almost before the market opens.

I would not be surprised to see it fall below three pence as I indicated above.

UNFORTUNATELY CASH CALLS CAN GO BOTH WAYS, BUT INEVITABLY THERE IS ONLY ONE WHEN THEY COME IN QUICK SUCESSION.

My confidence in CFE is still high, but for short termers this may be the time to step out for breather.

Hisarlı said that coffee consumption in Turkey is still minor when compared to Europe.

And they are going to leave it in the hands of franchisees?

Not convinced at all so far. But good luck to all those that are brave enough to go with it.

I'm not clued up on how good the quality of the CFE product is, but it better be really good.

It is and the management is so motinated, they understand what business is all about thats why I back them

Yes, but...

What experience do they have in these new countries. What are they actually offfering these new franchisees apart from a pipe dream?

They are offering absolutely nothing apart from pipe dreams.

David

Ok Barty I have 100k to invest in this and I'm really keen to get started.

Barty

Your'e an astute man as your getting in at the very start of somthing that is going to be really big for CFE.

David

That sounds really exciting I just can't wait to invest, can you give me any figures on previous franchisees and how well they have done?

Barty

Well no not really, but we are a really aggresive company that is going to dominate the world in the next five years.
I know were a little strapped for cash but don't let that worry you.

David

No worries Barty, I'm convinced that your product offering and brand awareness is so superiour to all the other entrants to this maket, sign me up.

Well its all a gamnle in the end.

But look at Starbucks and then coffee retailing.

I would be happy saying that if a man like Barty cant make it tick then no one can.

As for franchising I believe its best left to those who know their areas and country well.

I would never have opened Disney France in Paris, Lyon would have been a better choice. Why? WEATHER AND ACCESSIBILITY

As for franchising I believe its best left to those who know their areas and country well.

Thats just the point I'm making David. They have absolutley no knowledge of these new countries they are targetting. On top of that they are going to put their faith in anyone who comes up with the money.

But look at Starbucks and then coffee retailing.

Great success story for Starbucks, but it's a different ball game today. The competition is massive.

CFE won't cry too much if a few inexperienced franchisees fail to make the grade, as they will have received their fees, but what about the brand image?

I was quite interested in these a while ago, but the more I think about it, it's only for the brave amongst us.

I agree Trigger they are for the brave.

All these coffee ventures abroad are high risk as RHPS mentioned about one specific share that I dont particularly like, but for the sake a peace will not mention.

However, I like a flutter on a few stocks away from my main portfolio and I think CFE may well be a winner---but its gonna take a lotta time.

Fair play david. It's not about knocking stocks you or anyone else holds. I have no holdings in these but they do interest me but maybe a little less than few days ago mind.

Lets see what happens.

Good luck

Talk on the other side of more news soon---an agreement to open franchises in UAE. plenty of scope over there if it does come off. First one in Turkey to start trading in July to include sales of pizza as well as the usual cfe offerings-then a roll out in all the main tourist resorts.

And a 1 mill plus buy just before closing yesterday.

Great if it comes off, moneyplus but we are still looking at the same senario. Agressive expansion in the hands of inexperienced franchisees in a market that is tried and untested where all the big players are moving in.
If I was head of CFE, I would want to test the market first with my own team to prove I had a business model that worked.
I feel I have made my point so lets see what happens. Wish all holders the best of luck, but feel you may need it.

Thats what I like to see here, an open honest debate no holds barred, warts and all---thats how we all learn.

And----help make this BB the best!

Re CFE.

I am getting a little concerned that CFE my be looking more to overseas than the well matured, yet still growing UK markets.

International expansion is fine, and its the ultimate way to go, but one never Sh&&&&hts in one's back yard, especially when then are many international companies that still consider the UK as a top market.

CFE still has many High Streets and raodsides to conquer here first.

Take a look at this.

http://business.timesonline.co.uk/tol/business/industry_sectors/leisure/article1976869.ece


If this is not telling you, and CFE, that the UK market is still wde open---nothing is.

10B .... tend to agree with you in principle if not in detail ..... it looks to me, perhaps wrongly, that neither CFE nor COH have a decent and strongly profitable home base from which to expand overseas, esepcially via franchise ...... would not be at all surprised to see some very cross and burnt investors in both formats within say 18 months

I was told by the Apple Centre to be in the Trafford Centre by 10am this morning to swap my new MacBook Pro for the latest model F.O.C. so I duly turned up at 10am only to find that they don't open up till 11am!!
So to while away an hour I thought I would have a coffee. Cafe Nero wasn't open and no-one else seemed to be bothered either, but guess what? StarBucks was!!
Perhaps this is the example other coffee chains should follow, not only aggressive marketing but agresseive operation of outlets as well. There's just about nothing that pi**ses me off more than shops being closed when you would expect them to be open.
I vote with my feet as I expect a lot of other potential customers would too.
I wonder if our company has the same agressive outlook as StarBucks?
Does anyone know?
David??
cynic??
UC.
P.S. I noticed that StarBucks has a deli as well. Is this new or have they always had deli's?

No, but its all happening and thats why CFE had better start looking after the home store, or someone like Starbucks, if not Starbucks will do it for them.

I do so agree with you on store openings.

UC COH have no outlets in the UK it was set up specifically to open and expand in Eastern Europe so your comment is totally without foundation or logic... UK is saturated compared to Eastern Europe, yes I will agree there are more risks but many more rewards also...

The truth is, to be precise, that COH has no outlets in the UK because it failed and miserably so with Don Millars under Mr Worthington at BKE.

Then Mr Worthington took what he could, dumped his shareholders and run to Poland where after seven years he has failed yet again to impress with decent profits.

COH has just managed to keep afloat there but only because of surviving on cash calls.

These are facts not a glossed over tale, just plain honest facts.

Meanwhile other companies such as CFE and Strabucks have run rings around them here in the UK and shown what can be done with motivated management and soon this will happen in Poland.

Same old drivel David, you don't understand COH and by the looks of it don't understand a company that you've purchased 4 million shares in and as for the personal abuse shall I cut and paste what you've previously said to myself...

Your making yourself look even more stupid than usual David... Run rings round COH, they don't have outlets in the UK!!!!!!!!! never had. Mate listen to what I have said David instead of spewing this same old drivel. I guess your one of the increasing people I come across day in day out that do not listen, cannot hold a conversation and just interested in their own view... because they believe they are right...Very narrow minded... Please answer one question for me are you married or have you ever been married?

Whatever you say I promised IAN.

BUT YOU KEEP ON POSTING AND I EXERCISE MY RIGHT TO REPLY.

STOP POSTING YOUR BIASED OPINION AND RAMPING---THEN I CANT RESPOND CAN I?

MY OWN ONE SIDED VIEW REMAINS THAT OF ABOVE ie WORTHINGTON COULD NOT MAKE IT IN THE UK HENSE THE DON MILLAR COLLAPSE----

AND ALL POTENTIAL SHAREHOLDERS SHOULD BE AWARE OF THIS ON ALL GOOD FINANCIAL BBs, ESPECIALLY MONEYAM AS ITS A GROWING LEADING FORCE IN INVESTOR ENLIGHTENMENT.

(and we must all be open and honest in our postings as people's savings could be at stake)-

I CERTAINLY WOULD NOT WISH AN UNPROVOKED DIALOGUE WITH YOU SO JUST STOP PROMPTING MY REPLIES-----------------------------------------------

AND GETTING UPSET AND INTIMIDATING WHEN ANYONE DARES TO MENTION COH.

AS FOR " spewing this same old drivel " WELL YOU CANNOT ALTER THE FACTS SO ITS A CASE OF REPETITION FOR EMPHASIS, AS ALL GOOD TEACHERS WILL TELL YOU.

I will not respond to you any further, as you are obviously obsessed with your investment in COH and want everyone to be like wise, so please fade away and for goodness sake enjoy your day and loosen up.

Nice to see some blue this morning.

However it is still a very precarious time for the short term holders so be careful

Long term and a superb progressive PLC with a massive potential and with great, if not a a tad, too eagar management---and that is really not a bad thing when compared to some of the dead slugs around..

See what I mean?? At the moment, and until we get more good news to justify the cash call the price will continue to drift lower.

This does not bother me as I bought at 2,4p but it could catch a lot of you out.

Like a lot of these shares they need a constant flow of upbeat news for the SP to react positively.

Some here would call me biased. However that is not so I am just keenly interested in the art of investing fairly in stocks.

LOOK AT IT THIS WAY---

My pet share at the moment is MLR, but yet I am happy to state here that the board of directors need to start paying more attention to its shareholders, you cant manufacture news, but as news drives the SP, and a good SP in relation to its fundamentals inspires confidence, that said then shareholdrs' interests should never be over looked.

For example if I were a CEO who had just done a major deal---- AND A PRETTY GOOD ONE, I WOULD BE HOPPING MAD IF THE SP HAD NOT RESPONDED AS IT SHOULD, ESPECIALLY WHEN LEWIS CHARLES STATED OVER NINE MONTHS AGO THAT THE SP SHOULD BE 20P----I WOULD BE EVEN MORE CONCERNED IF I WAS ON 125K PER ANNUM AND THE SHARHOLDERS EXPECTED MORE FROM ME THAN THE LAST CLOWN TO SIT IN MY CHAIR.

SO YOU SEE IT BOTHERS ME NOT TO SLATE ANY COMPANY, IF I AM IN THEM OR NOT----IF THEY DONT PERFORM FOR THE BETTER INTERESTS OF THE SMALL SHAREHOLDER.

Aidie, I was just making an observation generally that applies wherever shops are situated.
I hope COH & CFE have an as agressive attitude as Starbucks. If CFE were in the mall and they had not been open I would have complained to the CEO as a concerned investor.
For info: I have 600,000 shares in CFE and still 50,000 in COH. I DO NOT hold David's view on COH.
UC.

Thanks for the clarity UC, I've squelched him anyway as Im fed up reading the same old story day in day out...

Must get as tedious as ramping then.

But the same old story as you say is a fact and if I were to be investing my money in a company I would want to know the directors' track record---I mean that isobvious.

The only stab at fast food that Mr Wortington had, Don Millars, despite even more cash calls, went belly up!

Then he tries is luck in Poland and still no profits.

We all have to be realistic and without the TWO FURTHER cash calls COH would probabaly be bust today.

I believe these facts to be highly significant and best put in the public domain at least that gives everyone a fighting chance,

Driver/Ras,which one of you just bought 7million shares??

Mine is with milk,1 sugar.

nice news out this evening--hopefully a blue day tomorrow!

Bet whoever purchased the 7 mill on 27th knew this was coming.

Tenby

You were a big time loser with BKE and a big time loser with COH after you jumped at 18p...you just might get it right one day.

LOLOLOLOL

PS. YOU SHOULD BE BANNED FROM EVERY BB.

Coffee Republic PLC
29 June 2007


Coffee Republic PLC (the 'Company')

Total Voting Rights

In conformity with the Transparency Directive's transitional provision 6, the
Company notifies the market of the following:

As at the date of this announcement, the Company's issued share capital consists
of 619,843,569 ordinary shares with a nominal value of 0.1 pence each ('Ordinary
Shares'), with voting rights. The Company does not hold any Ordinary Shares in
Treasury.

Therefore, the total number of Ordinary Shares with voting rights is
619,843,569.

The above figure of 619,843,569 Ordinary Shares may be used by shareholders in
the Company as the denominator for the calculations by which they will determine
if they are required to notify their interest in, or a change in their interest
in, the share capital of the Company under the FSA's Disclosure and Transparency
Rules.

Nothing compared to the potential!

A lot of buying today.

made up for my LNX blunder this week as did TAL.

SSSSSHHHHH I MAY GET ACCUSED OF RAMPING

10b

YOU ARE A TOTAL LOSER AND SHOULD BE BANNED FROM ALL THREADS.

iF YOU THINK SO!

I DO THINK SO

WELL THEN THAT MUST MAKE YOU FEEL GOOD SO PLEASE ENJOY IT WITH MY COMPLIMENTS!

YOU REALLY ARE A NO HOPER.

If you say so.

I do say so..

beemer ... stop allowing yourself to be dragged into the tedious bore's inane droning.

beemer .... I tend to agree with cynic. Let him post but if everyone ignores him he will look even more stupid.

If he gets no feedback he is nothing. He thrives on the attention. Stop that and he has nothing.

But I dont gentlemen thats where you wrong; even answering my fan mail is tedious.

Six this morning agree with my sentiments on COH which they too feel will be a downer next week.

Have a really nice weekend.

Tenby

Why anybody in their right mind would want to email you...you are a very strange individual

cynic - agree
trigger45 - agree
I've squelched both of them. I'll un-squelch beemer when he stops responding to the idiot.
Wish everyone else would do the same.
UC.

Just as a matter of interest I read in the paper today that Coffee Republic plc has signed a franchise agreement with pub operator Greene King for 26 locations and pilots are under way with groups such as Road Chef motorway services. We at shareclubuk.co.uk were so pleased to read the news as like others we are looking to make profits.

no RNS re Greene King which is strange if true ...... i don't like this company any more than COH! ...... i ask .... how can a company with tiny t/o and no profits have the financial and organisational expertise and support etc etc required to run a successful franchise operation? ...... imo, it can't

http://moneyam.uk-wire.com/cgi-bin/articles/200706010700525850X.html

Coffee Republic plc CEO interview at Wall Street Reporter

Excellent interview with some nice little nuggets in there to encourage the faithful the sp is rising nicely now.

By Eck (e Thump) there has been some volume on this share recently!!!!!!
Bought back 150,000 today.
UC.

coffee republic brand on sale in supermarkets being considered---another string to their bow!

Does anyone here know anything about Profile Group?
They have been buying a lot of shares recently. Own over 4% now.
UC.

Share price picking up after hovering @2.50 for sometime.

Latest announcement of outlets in the UAE has woken up the early birds! Also strong indications that cfe will go cash positive very soon-I'm short of funds with a sea of red at the moment or I'd be topping up.

moneyplus youre not alone!!

very encouraging AGM statement today to cheer us all up.

Is that why the sp has gond down??

funny old market--up down all over the place! could be some were expecting a definite statement on cash flow positive but I'm tucking mine away.

Forex Loans Credit Cards Simply Chart ISAs








Coffee Republic PLC
12 October 2007


Coffee Republic plc

Regional Development Agreement for Warwickshire, Worcestershire and Gloucestershire.

Coffee Republic plc ('Coffee Republic' or 'the Company'), the independent coffee
and deli bar operator, announces that an agreement has been reached with CR
Mercia Ltd ('CR Mercia') for the UK Regional Development franchise ('RDF') for
the above territories.

Commenting, Ashley and Alyson Cox of CR Mercia, said:

'We are delighted to have secured the Regional Development agreement for
Warwickshire, Worcestershire and Gloucestershire with Coffee Republic. We look
forward to establishing a strong pipeline of bars in the near future and to
expanding the brand into more northern territories.'



Commenting, Steven Bartlett, CEO, said:

'We have been impressed by the enthusiasm and drive demonstrated by Ashley and
Alyson and are very excited to be working with them in furthering the company's
expansion into these new regions for us.'



For further information:

Coffee Republic
Steven Bartlett / James Muirhead 020 7033 0600

CR Mercia Limited
Ashley Cox 07974 676 916

Landsbanki Securities (UK) Limited 020 7426 9000

2006 MoneyAM


DRIVER,you still up for a COFFEE

Coffee Republic PLC
25 October 2007




Coffee Republic plc

Coffee Republic to open 25 cafe concessions in Scotland



Coffee Republic plc ('Coffee Republic' or 'the Company'), the independent coffee
and deli bar operator, announces that a franchise agreement has been reached
with McLeish Brothers Limited to open Coffee Republic Cafes in each of 25
planned New York deli-style stores over the next two years. The first will open
in Edinburgh, and sites are already being reviewed in Glasgow and Dundee.

McLeish Brothers already run a number of similar outlets across Scotland and
have considerable experience in the retail and leisure industries.


Commenting, Steven Bartlett, CEO, said:

'We have been impressed by the enthusiasm and drive demonstrated by McLeish
Brothers and are very excited to be working with them in furthering the their
company's expansion in Scotland, and subsequently England.'


Commenting, Danny Anderson, Master Franchisee for Scotland, said:

'I have been impressed by McLeish Brothers concept and I am excited to be
working with Stanley Morrice and his team in driving this development forward.
In addition to this there are 2 new Coffee Republic franchised stand alone
stores planned to open by Christmas this year, one of which will be in
Silverburn, Glasgow, which will be one of Scotland's largest shopping centres
and it will be the largest Coffee Republic store in the UK to date. There are a
further 5 franchised stores in Scotland planned before the financial year end.'


Commenting, Managing Director Stanley Morrice of McLeish Brothers, said:

'We are delighted to be working with Coffee Republic. The response to our
concept from the public has been well beyond our expectations and we are pleased
to be joining forces with Coffee Republic to realise our ambitious plans for 25
stores by the end of next year. We looked at a number of the leading coffee shop
brands but Coffee Republic was by far the best brand in terms of quality of
coffee and range of product.'





For further information:

Coffee Republic
Steven Bartlett / James Muirhead 020 7033 0600

Portfolio Scotland Limited
Danny Anderson 01506 433277

Landsbanki Securities (UK) Limited 020 7426 9000
Nominated Adviser & Broker

ADVFN is another good place to chat about CFE.

Uk's Coffee Republic in talks with local firms for India entry

why waste your time? .... company is crap as it always was

Also having had my morning coffee there for the last 7 years, all the regulars are defecting because they've raised prices a few times too often of late, with the lastest drink rises of 10% plus.

self-evident answer then isn't it

Coffee Republic plc (CFE-AIM) S.P. 2.10p.
Highlights

LFL growth: 4.2%
Cineworld: 73 ;Co-brand ; locations to open in the UK from early 2008
Co-brand; locations: 27 in operation
Newly franchised bars: 17 (including 5 converted from Company rsquo;)
Overseas Expansion: 8 countries contracted.

After just over a year as Chairman I am pleased to announce that the strategy adopted by the Board over the last year has resulted in a marked improvement in the operational and financial performance although there is still much work to do.

At our shareclubuk.co.uk meeting this morning we voted to keep our investment position with CFE as the upside potential for growth looks positive to generate profit. Click onto www.coffeerepublic.com its well worth the visit.

Coffee Republic plc (CFE-AIM) S.P. 2.10p. Market Cap 12.99m.

The company interim results that came out on the 7th of Jan makes interesting reading with new franchise agreements coming on board thick and fast the backbone of the companys trade for years to come giving cash flow. You can read the full the full report on the clubs website.

At our www.shareclubuk.co.uk. meeting this morning we voted to keep our investment position with CFE as the upside potential for growth looks positive to generate profit. Click onto www.coffeerepublic.com its well worth the visit.

Coffee Republic plc (CFE-AIM) S.P. 2.30p. Market Cap 12.99m.

Todays hot news CFE sign International master franchise for 14 stores in Kuwait. The rate that new franchise stores are opening is improving the companys cash flow. It has been noted that CFEs share price is starting to trade up. You can read the full CFE new reports on the clubs website. meeting this morning we voted to keep our investment position with CFE as the upside potential for growth looks positive to generate profit. Click onto www.coffeerepublic.com its well worth the visit

who the hell needs 14 coffee shops in Kuwait???

Have you ever been to Kuwait? I have worked there and they drink a lot of coffee as there are no pubs

great holiday destination too! ..... dubai (which services kuwait in our biz), qatar, abu dhabi and saudi are my biz areas there ..... i still maintain that CFE do not have a decent infrastructure to support and sustain a profitable franchise operation.

CEO Steven Bartlett welcomes any visitors/investors to the co. headquarters in Canary wharf--maybe we should set up a m/am visit Cynic?

i make better coffee at home and don't need to spend about 3 hours getting to Canary Wharf - lol!

lol.

Coffee Republic plc (CFE-AIM) S.P. 2.30p. Market Cap 12.99m.

Put your money where your mouth is thats what my wife said as I was going on about CFE so I did and I am now showing small profit on the deal, my stock broker said that the deal should turn in more profits. I rest my case, keep your mouth closed unless the wife could find out. To make up your own mind on CFE and to find out more about the company just Click onto www.coffeerepublic.com its well worth the visit.

Creeping back up over last three days.

CFE has climbed from 2.02-----2.41,in the last 14 days,one to watch.

One to watch I will .

10% down, under 1p now.
- but that's still nearly 9x the face value of the share.

There was some bad news about Starbucks, in the FT today - cutting their offerings and prices, perhaps..... makes sense as I thought they were far too pricey - - - - it is only hot water and flavour.

I think they were at the Growth Co Show...perhaps last year...anyone use them regularly...?

Well, a few of you missed an uplift to 1.6p ( maybe 50% if nimble?)....
Yet this only followed the Market Feeling-Better, now that (most) Banks aren't going Belly-Up. (Later, maybe?)
This stock is much unloved, I'm guessing - and looking at very few Outlets, seems a tad unwelcoming - (only my fleeting opinion!) - but I do have an issue with the "name" - it sounds like some Communist/Hippy outfit, or maybe some sand-blown Country at economic-war with a larger neighbour, - just what does "CR" mean?

No chatter here, so I'm guessing all the feel-good investors have left.

Relying on a single product is risky, no matter how good the taste - at the end of the day it's a coffee.

i don't like this company any more than COH! ...... i ask .... how can a company with tiny t/o and no profits have the financial and organisational expertise and support etc etc required to run a successful franchise operation? ...... imo, it can't

above is what i posted a year ago, and has proved to be pretty accurate ..... the company is total rubbish!

People wont pay 300p for a hot drink in a downturn.

it goes deeper than that (assume you don't actually mean 3.00 a cup anyway) as commented above

cynic, mitzy
SKP

Cynic you called it like it is...it seems....BUT how is it possible for them not to make a profit on high uplift in actual costs?

Also, if the first six shops aren't working - why not fix this before expanding . . . . makes me wonder if the problem only started after they got going . . . .

imo, company has been shit from the first time i saw it here ...... 14 outlets in kuwait???? ..... are they nuts???? ..... no base strength; no proper infrastructure; no profits; no chance!

Still got 10,000 shares in this after selling 240,000 last year. Wish I'd sold the lot now.
OFF TOPIC: Anybody into gold on here? If so, take a look at Goldplat (GDP). Good solid little company, not been very exciting (share price wise) but just delivered a 116% jump in FY profits with the promise of a lot more to come in the future. Not coffee related I know, but you have to consider all sectors to find little "nuggets" of success.
cynic, you know anything about GDP?
UC.

Ultimate Cynic
Sorry of topic.

"Cambridge Mineral Resources has continued to make progress in its strategy of advancing and adding value to its portfolio of mineral projects and becoming a producer of precious metals.
In particular, the drive towards precious metal production of 100,000 ozs gold per annum in South America has been advanced and we expect to commence production at our first gold mine in Colombia our Quintana project in Colombia later in 2008.....

Spot on, cynic. Coffee republic has crash and burn today for overcharging on coffee.




Jobs under threat as Coffee Republic goes bust


Coffee Republic, the British coffee shop chain, has gone into administration after weeks of speculation about its future.

Administrators KPMG said there would be inevitable job losses at the coffee company, which was founded by brother and sister team Bobby and Sahar Hashemi, near Bond Street in central London in 1995.

Although the Coffee Republic Plc holding company has not gone bust, its three subsidiaries, Coffee Republic (UK), Coffee Republic Franchising Ltd and Goodbean Ltd have all been placed in administration.

KPMG hopes to sell on some of the companys profitable franchises and outlets.

Richard Hill, restructuring partner at KPMG, said: The recession is hitting discretionary spending on the high street and some of the less profitable bars with expensive leases have suffered.

However, Coffee Republic has a strong brand and I expect considerable interest in the profitable parts of the business.

The group has 153 directly-employed staff, 127 at 20 group-operated outlets. There are 187 Coffee Republic-branded cafes in total in the UK and overseas, including 70 franchises and a further 97 concessions in cinemas, retail outlets and hotels.

The company suspended its shares yesterday pending clarification of its financial position as administrators prepared to swoop on its UK business.

CFE has crashed because it was a crap company, not (just) because they charged too much for its java ...... see my earlier posts

Wake up and smell the coffee

Its a shame for all the workers on the dole.

plenty of well-qualified people get put on the dole from proper and profitable companies.
it happened to 2/3 of my children within the last 6 months or so, but thank goodness they were picked up by others very quickly