A busy day in the Warsaw Underground !

Not just another coffee shop chain - this one is a brand leader and is only trading in Eastern/Central Europe (i.e. the countries recently admitted to the EU destined for substantial business growth). The company is creating new outlets at a fair old pace and take a look at their website - these are quality stores in high-profile locations like major airports, railway stations etc. Website: http://www.coffeeheaven.eu.com

APRIL 2006 TRADING UPDATE!!! Total Gross Revenues for 12 months to 31st March up 66% to £6.3M (2005: £3.8M) Lots more info. on new markets and stores click here to read the full details. Stores: 43 (up from 32) stores currently trading (Poland: 30 (up from 23), Czech Republic: 6 (Up from 2), Latvia: 7 with a further 5 units under construction including Bulgaria and sites secured in Romania (subject contract). Bulgaria & Romania are seeking to join the EU from January 2007. Sites located in key high street, shopping malls or Airport locations. Company growth target: increase number of units by at least 20 units to some 63 units by 31 March 2007. Aim being to achieve this level of growth within present Cash resources.Cash balances at 31 March 2006 were approximately £2.9M (2005: £0.7M). Debt was nil (2005: £ 2.5M): Nil Debt! Positive EBITDA: For the year ending 31 March 2006, Group EBITDA expected to be firmly positive after charging UK and new market development costs but before exceptional costs relating to the cancellation of bonds (previous Debt). Forecasts: Based on present trading conditions and current exchange rates we anticipate indicative sales of £9.3M for the year to 31 March 2007. This includes indicative sales of £0.4M from Bulgaria, which will be reported but not consolidated. From Richard Worthington (Chairman and Chief Executive): ‘The new financial year has started well. There is no doubt that the significant economic improvement in our markets is feeding through to consumer confidence and spending. The strength of the coffeeheaven brand ensures we are ideally positioned to benefit from our customers' increasing prosperity.’

As I understand it Mr Currie was forced to buy to save face when Mr Worthington sold the last time. In fact he was vertually picking up Mr Worthington's untimely diosposals

It would have proven to be most inappropriate if Mr Currie have not made a token purchase this time hense the paultry amount of said purchase.

I mean get real 9,500,000 new ordinary shares of 1p each issued in dilution and Mr Currie picks up just 243,902 at 41p.

Also please note the price today is bid 40.5p.

I feel the share is overvalued! Nothing more than an opinion based on Fundamental Analysis.

I trust you continue to have a wonderful day.

AdieH I did read the comments... what else was I likely to be doing its a bulletin board lol.....

But there does still exist the possibility that once done so my opinion may still differ from yours....shocking eh...

Perhaps if you posted a bit less re hashing your same few points over and over...others with fresh opinions might feel that are able to post...

They might even agree with yours...

Outside if this thread the rest of us still believe we are free to express our opinions..

I am thank you, your analysis is flawed... Mr Currie bought to increase his substancial holding... nothing to do with RW selling some shares (do you begrudge RW taking some profit considering the excellent work he has already achieved with COH...) If I was in his position I would realise some of the profit... Look at the financials and see what salaries are being drawn...You do seem to have a chip on your shoulder mate... Would suggest you go away and come back in six months to see if you or I are close to our predictions.... If you are waxman then you should have learn't from the last time you were brought down to size....I have already proved you lied about the AGM's so rather than lose anymore credibility would suggest you analyise any future postings just incase you get caught out again.

I don't want to clog up the board with drivel responding to your post I have proved my point... Have a good six months....

On the contray old chap you have proven nothing save your own frustration.

Now I can understand your frustrations and I actually feel for you as having done some further research only to find that quite a number of COH holders seriously believed that this share would be 100p by now.

As it now flounders below the recent placing price you must be concerned about the further falls that I anticipate.

Do you imply that all bargain hunters have chips on thier shoulders?

If so the whole concept of UK stock trading and the participants would have a limp.

Please relax, and do enjoy your day, life is far too short for your obvious frustrations,

I note the COH has now fallen well below the recent issue price and could well continue its fall to levels that a prudent investor could be tempted to buy at.

I did not pluck my comments our of thin air, I am trying to understand stocks in order to make money.

Based on Fundamental Analysis, the fact the Directors recently sold, and the recent further share price dilution for no specific reason, with 3 million pounds of sharholders' funds already in the COH bank account, it just had to go south.

Mr Currie has definately not shown good business accum with COH, as the two big recent buys he made are now into loss situations.

Therefore as I said, instead of getting in a war of verbal abuses, simply let the SP do the talking for us both.

Please have a very nice day.

10B...the Knobhead of Naples.

David10 - I have some sympathy with your view, but am concerned that your "trying to understand stocks in order to make money" is unnecessarily hampered by your regular use (in your writing and therefore analysis, I imagine) of hyperbole - "flounder", "well below", etc.

The fact is the mid SP is 40.5p, 0.5p below the placing price in a week where the market as a whole is undergoing a somewhat stubborn malaise. During the first 4 months of 2007 when the stock market has been going through a wobbly phase, COH has held steday as a rock at 42p. It's current dip, light of the placing is hardly significant for a mid-long term investor such as myself.

I certainly do not expect the SP to be 100p by now (nor do I see many posters here who give that impression). But I do hope it will be up in that region in about 2-3 years time. This is truly a Warren Buffet business, in that it could one day be run by an idiot - get some coffee grounds, pour on hot water, add milk, sell to a customer at a 1000%+ mark-up on ingredient costs - all you need to do is open the premises and make them look nice, there is a willing patronage out there bursting to be like the decadent West so long denied them.

RW and his team have achieved all and more than they said they would at each stage. Profitability, I hope, will be achieved in 2008H2. then we'll see what other serious shareholders the business may attract.

Cash in the bank during the rapid expansion period, the most vulnerable period of any company's life, is to be praised not damned. A spare 3m earning interest on stand by for the vississitudes of the entrepreneurial life is welcome. To raise more cash to accelerate a proven formula roll-out is an excellent response to the current threat of competition from other operators - again, not something to be excorriated in the pejorative tones you use. I think there are statistics to show that 2 pubs in a road create more overall business than the sum of each standin alone. But by then, there should be strong brand loayalty to COH the first-mover and newer, unaligned, customers will be attracted by the fact that so many others now seem to be doing it. Some of these will be captured by COH. Whether the customer base grows below, in line with or above the overall market growth in coffee drinkers is the $64k question. I think we have a fair chance. When we cease to be a near-market leader, it may be time to sell. If I can get 118p for a 10-bagger by 2015, then I'll have earned 25% pa compound (excluding dividends which will be payable by them, I imagine) - very nice thank you. Why waste my time trying to think of a better place for some of my hard-earned?

Post away - your views and conclusions add value to a balanced thread, but I wouldn't want your education unnaturally limited by your own prejudices. You may be right, but it would be better to arrive at that conclusion for the right reasons.

All the best
A Coffeee Angel

Good morning stockdog, thank you for your most enlightening post.

By the way I too am a coffee addict and having as I do, a lot of faith in CFE, even though they are two different retailing models.

Please dont think that in my search for value I am influenced by any form of prejudice. Prejudice is not helpful to a capitalist on the make!

I have nothng against COH, its management, its product, or its markets. I would probably take up a few at the right price.

In order to undertand my strategy, should you wish to, you must see that when you pay a price for a share that is signifigantly higher than its intrisic value you are indeed courting with danger and likely to suffer a signifigant loss, as those who bought COH at around just below 50p are currently finding out as the SP sinks lower.

Seeking out the bottom of a share,(which I am only trying to do) then bottom fishing for the best price, always upsets holders in that share at over its true value.

I genuinely do not wish to purposely upset anyone, nor appear to be rude, with differing views to mine, but thats how these things go.

I try to make the best possible allowances for all emotional outbusts, as we all know the market has little, indeed no, time for emotion.

Sadly those that sucumb to such deficiencies usually end up by being stung very hard.

Please enjoy your day and have fun, best wishes.

Thank you for your post StockDog a most well thought out and put together post, would agree with everything you have said... You mirror in your thoughts what most holders would be thinking... As to the bottom line I can understand your agenda David but my thoughts are we have found the bottom and this would be supported by the recent institutional purchase at 41p... We will just have to see where the sp goes from here but my view is it will hold at these levels until we get news wether that is positive for the current holders or positive for those wanting to get in lower... Good Luck and thanks again for your post StockDog...(coffee angel)

Good luck with your investments AdietH

Good luck with your investments AdieH

Good morning AdieH

Taking on board your comments and in order to get a more balanced point of view I took a look around the BBs earlier .

It would appear that even the most ardent of former shareholders in COH do not agree with you, as now they appear to be dumping COH in the hope that it will fall further and then trusting to buy back in a little more cheaply than current values, which is all that I am trying to do.

This exercise selling, as they must be, at around the current price of, 4240p, in order to make the whole thing worth while would indicate buying back in at around the most conservative price I indicated or indeed substantially below.

I trust this helps in your deliberations on a value for COH and further helps you to understand that my original post was indeed well intended in the on going quest for value.

Best wishes and good luck

Most ardent former shareholders... where do you get your information from David, do you know all previous share holders personally... LOL... Do you frequent any other bulletin boards and what is your handle if so...

You will find him until recently on A***N and i*i under different names.Also on Costa blanca buyers agent exposed.

No I rarely post on other BBs as most of whats there is rubbish and ramping, and people do like to get childishly personal when they cant have their views up in front, but I read them frequently even though its a long time since I was in kindergarten.

My information is widely disseminated throughout the public domain and here are some examples of two great former supporters of the higher share prices of COH.

Both of these were strongly looking at prices over 50p not so long ago, which of course is so misleading. I have have been following posters with interest, the latest which I copied, with full acknowledgement from ADVFN are reprodced here viz

aussiedonnie - 10 May'07 - 20:08 - 5947 of 5948


I'm a little turned off (sold half my holding). Hope to see COH excel though, will return.

PedroJack - 10 May'07 - 21:23 - 5948 of 5948

And on iii one investor is talking about "panic buttons" etc. Doing the rounds of the BBS without getting involved in the often futile and ever time consuming efforts of posting, which is often seen as the casting pearls before the metaphoric swine! So much more entertaining just to read there!


aussiedonnie...Sold my complete holding at 42pence last week and now waiting for weakness in the share price to buy back in hopefully...

As you can see they have now seemingly jumped ship!

-Of courese there are many more as today's trade will clearly demonstrate and I suspect more will follow as COH finds its true levels.

The main concern for many holdrs being the constant cash calls and SP dillution, a lack of first class locations and of course the ever increasing competition.

All thoughts, or perhaps hopes may now be a better word, of a takeover have been scuppered by none less that COH's CEO who recently proclaimed that his outlets were far too expensive for any predator.

Maybe he was hinting that he hAd paid too much for them in the first place!

Certainly there was one venture in sandwhich shops out there, and I forget the name, but it was something like Quickbite or similar, that bought a whole working operatinon for a price(200000 pound Stg I believe) that COH was paying for one leasehold outlet.

Who knows?

What remains important, to me at least, is that I called the price down and it fell, so I guess I must have some understanding of these things, would you not agree?

Do have a really great day.

Have squelched him now... he has an agenda which is to short... They price has dropped but for me nothing has changed so hopefully when we get news were breach the last high of 52p... Good luck to all...

Bravely Spoken!

Have a great day.

Attention please.

As expected-----

Both bid and offer under 40p

By my calculations its in free fall now, please exercise all caution!

10B
Any money left or is it all down the drain with BKE?

Well and truly shafted! LOL.

Now BKE there is a disaster share which I am glad you mentioned because you cant be serious, or taken seriously on this one as you would be as you rightly say well and truly shafted---please its a barking dog and I make no excuses for saying that.

Look at those involved in this one, the same crowd or part of the mob that has kept JLH floudering for years.

Look at the performance, look at the promises and what do you find at the bottom line a bust company going around in circles with ten year almost of an SP falling and no surprises Diggle Investments.

You would be mad to touch this one it would be an exercise in pure cretiny.

The CEO/Chariman has done nothing for years except to take a wage of the expense of the shareholders, but of course there are those who live in a dream world and think a penny stock is cheap because you can buy handfulls for pennies-

I would rather have a goodnight down the casino at least that way I am in control of my losses.

BKE must surely be the pick of the year----1887!