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

"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.

bosley, come on, lets be realistic. ASDA want Greenseal and SEO are working with their suppliers currently. There is a long, long time to go in the 1 year period for a start and the following I take to be total and utter rubbish to be honest.

"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."

The only message that would come out would be that Greeseal is a disaster and if ASDA who pushed for it dont want it I find it VERY hard to believe that any other supermarket in the UK would touch SEO with a bargepole.

EDIT:- Also, its said that resistance comes from suppliers. I always thought that the same suppliers had lines for various supermarkets. That being the case why would they suddenly be more inclined to convert their machines if Tesco tell them to rather than ASDA.

Hey Bos - I dont like to criticise - but I got to agree with QC's comments

baza

I've been rattling on about this for ages. SEO will NOT announce very conversion. Now if they received notification that a supplier was converting 10 machines (inotherwords a quite a chunk) then maybe we might get to see an RNS.

What we may get is an updated RNS of conversion for every 3 months or so.

IMHO

Kong

KK - I think we are violently agreeing

Baza

qc, baza, fair comment about the option of seo ducking out of the asda deal. i hadn't looked at it that way. but i stand by my other comments. seo release an rns when they change toilet paper. the first greenseal rns was for 1, the second was for 1 plus an option for a further 3. since then, nada. the egm stated the 5 we know about. so since that second rns there has been nothing. anyone care to check the date of that second rns? if memory serves, i think it was june.

This whole issue of ASDA orders is getting well out of control.

ASDA have a 12 month contract, not 3. They have to deliver in that year period and thats all.

Things I have heard seem to point to ASDA having issues dealing with the proposed Greenseal project and have had to do some shuffling of resources, thus causing the present delay. The future seems just as rosey as before, but just a little later.

There is nothing I can see that worries me, other than SEO trying to bite too much at once.