for more information about stanelco click on the links.

driver's research page link
http://www.moneyam.com/InvestorsRoom/posts.php?tid=7681#lastread
website link
http://www.stanelco.co.uk/index.htm

alan, driver says so too. unfortunately i have a major problem with pcm from the good old tech boom days. i bought at 16p. still holding, waiting.........

Al, stop ramping PCM, have you had a look at ERT (Postman Pat) to you.

The agreement with Elwood Packaging Inc is initially for 18 months but is dependent upon Elwood achieving and maintaining certain levels of sales, Stanelco said.
Perhaps the same type of deal should have been done with ASDA.

Could it be that the ASDA deal is going slower re conversions etc than expected hence SEO may have learned a lesson. Still a great beleiver re the ASDA deal but looking at the early part of 2006. Similar comment may have been previously posted but just returned from hols so catching up.

Hindsight is a wonderful thing.

Greekman

I read it that Elwood have 18 months exclusivity CERTAIN. It is periods after that that is dependant on having achieved sales.

ASDA had only 12 months - END of exclusivity.

This then permits Grenseal to be sold elsewhere, complementing/increasing the numbers of users paying Fees as well as allowing existing machines to be used for other retailers products. I do not see more than one manufacturer or distributor being needed for Frogpack in a given territory.

Tonyrelaxes

I read it different to you although it would be nice to get a bit more info,IE a bit more meat on the bone so to speak. The extract below is from the initial announcement, it appears to me that the exclusive period only depends on the level of sales and not the period following. I agree re your comments re ASDA and the comment re only one distributor in any given territory.

Quote.
The duration of the exclusive period, initially 18 months, is dependent upon
Elwood achieving and maintaining certain levels of sales.

I read it the way Tonyrelaxes - 18 months to start definite and any extension thereafter dependent on successful sales levels being achieved. No way would Elwood expose themselves to having the rug pulled any time SEO fancied withut a minimum period.

The lesson learned from ASDA may be that 12 months is not long enough to "turn" the market.

sd

"The duration of the exclusive period, initially 18 months, is dependent upon
Elwood achieving and maintaining certain levels of sales."

"is dependent upon" refers back to the "exclusive period", therefore greekman is correct.

"maintaining certain levels" applies to the 18 months and not some unspecified future.

Still think i am right. Can't see how any minimum sales level would require to be implimented or mentioned re any period after the initial 18 months. We may have to agree to differ untill clarification is forthcoming.

Greekman,

You are absolutely right. Only a lunatic would give another company exclusivity without that company having to buy a certain amount during the exclusivity period. Don't buy enough and the exclusivity becomes void.

greekman is correct. if elwood do not achieve and maintain set figures within that 18 month period seo can back out. someone did mention , but this hasn't been confirmed by seo ( i think), that there is a similar clause in the asda exclusivity deal. if this is so, shouldn't seo be taking a look at it? i mean, asda are hardly sticking to their end of the bargain.

I would interpret it as Greekman's leverage, but Tonyrelaxes' result, as follows:-

During the initial fixed exclusive period of 18 months, Elwood have to achieve sufficient sales in order for SEO to extend the period of exclusivity thereafter.

Elwood would not allow itself to be hostage to no guaranteed period of exclusivity, with SEO saying at any time after commencement (1 day, 1 week, 1 month?) sorry, mate, think we'll call it a day.

The use of English, in the context of normal commercial practice, is pretty clear IMHO.

What does it matter, anyway - the facts of the case won't change for us arguing about it. One side or the other being right won't change the SP one jot.

sd

NielsJensen.

You said it. Just a thought is your username re the Jensen part an indication of the car you intend to buy when SEO realy come good..

Fair point Bosley, but we don't know Asda are not sticking to the deal in my opinion...unless you are expecting an announcement on every machine etc, which I am not.

stockdog.

No problem. I only put my views as always. Don't mind a good debate, would not consider it an argument. No knowing which way it may go after the 18 months although I would think ( again just an opinion ) that an extension re exclusiveness is doubtful. Agree totally its not going to alter the SP.

Just thinking back to a Tony Ruane quote:-

"This is a first to market for ASDA - real innovation. This could well turn out to be the biggest thing in packaging for years. The benefits for both the environment, our customers and suppliers from this technology are far reaching. The potential for the use of Stanelco's technology grows every time we look at it. Every visit to both stores and suppliers identifies new areas and ways in which the technology can be used. We are looking forward to working with Stanelco."

Notwithstanding the fall in the share price (either no news or belief that things aren't progressing as quickly as expected??), I don't think there's any significant change. Only if we see a RNS with 1 or 2 further conversions will we know this is taking longer.

Are people out there generally expecting a continual update, putting me in the minority?

Greyhound.

I agree with you re the none necessity for notification of all conversions. I think we will have to wait for the occasional update. Also not worried re the odd drop in the SP.

Greyhound - I for one am not expecting every single conversion to be communicated via an RNS - but SEO know how sensitive their share price is to orders - so I would expect an RNS to be released when they get a significant order - or when they reach a certain milestone - unless thay want the shareprice to drop for other reasons - but I can't think of any.

I dont like this drop of 0.5 everyday - but maybe thats starting to reflect true value and not until we get some significant real progress will it start to climb back again.

I still have much confidence in this company and its management team and am still looking for the price to get to 30p by xmas - but we need it to climb back above 20p first. as they say - how do you eat an elephant - one bite at a time - I think its the same with SEO - except at the moment we seem to be re gurgitating.

But I am a long term investor and if it does not reach 30p by xmas - then it will be disappointing - but not the end of the world.

baz
Well said
bos
There there is a similar clause in the asda exclusivity deal, please don't ask me to find it but its there, Asda are committed to 200+ R/Fits if not SEO can pull out I think thats how I read it.

for all those who are not expecting an rns for every conversion......... i would have to say that you don't know much about seo. as baza said, seo are very much aware how news driven the sp is, therefore, a lack of conversion news is cause for concern. this is not a recent topic but one which has been raised for the last six months, and every week that goes by without news is giving me more cause for concern. the explosion in the share price is totally on the back of the asda deal. failure to deliver will send the price back down. as i have said before, asda don't give a shit. tony ruane and the rest will say exactly what they need to say to get the best deal for asda, no matter who gets shat on.
driver, if it is true about the get out clause, it might be an option for seo to take the hit now and do deals with anyone else who is interested. it would also send out a message that they wont be messed about.

We may be a bit hasty this was only said on the 30/08/2005 four weeks ago.

Martin Wagner, recently recruited from Asda, as Commercial Director of Stanelco
RF Technologies Limited, is now leading the drive for roll out and further
commercialisation in the UK.

We remain confident of being able to announce a number of additional
developments in relation to the commercialisation of this technology in the
coming months.