I(14);BBI(3,6,12)&Layout=2Line;Default;Price;HisDate&XCycle=&XFormat="/>

Time is at a premium at the moment, (the cricket is on)so I will take the lazy way out on recommending this one and just copy the last brokers note, I do expect a new one out any day with todays excelent news. Heres the Broker Buy note from Evo Bee Greg.....
The group have (sic) recently announced the acquisition of Extreme Beverage Company. The merger rationale seems excellent, especially given the nature and appeal of both the Players Extreme and Blavod brands to similar markets whilst the depth of Extreme�s distribution network in the US will give Blavod the much needed platform from which to grow. The management team is headed up by CEO Jeff Hopmayer, the original founder of Extreme Beverage. He is a proven entrepreneur with a very strong track record.



The US remains the only major untapped market for Blavod but also represents the biggest scope for potential especially given that the US is the most important vodka market in the world. In addition flavoured and ultra-premium vodkas are predicted to enjoy the greatest future growth with flavoured vodka now accounting for over 5% of the total vodka market.

Our forecasts are based on relatively conservative assumptions and are primarily driven off our own estimates of case sales. For the year to March 2004 we expect the total number of cases sold to be in the region of 49,000 (this is based on a full 12-month trading period from Blavod but only includes Extreme�s trading period from the 20th January) and expect this to grow to 229,000 in 2004/05e. Gross margin of c33% is low compared to the industry average of c60% and we expect the gross margin to grow as the group realises further cost efficiencies. Our forecasts assume breakeven in 2005/06e.

Valuation is less straightforward and historically the main valuation metric has been industry exit multiples for previous transactions and case sale ratios. These give a range of between 55p and 80p a share. However, there are risks and the group is still in the early stages of growing both the Blavod and Players Extreme brands and as such our price target of 55p reflects the lower end of our range. As the strength of the brands grow and they become more of a strategic asset, this could move the valuation towards the top end of our range in line with our DCF value of 85p. This is an appealing and attractive growth story."

Year to March 31st Sales (� million) Pre-Tax Profit (�million) Earnings Per Share (p)
2004E 1.8 -1.3 -5.4
2005E 9.5 -2.9 -4.7
2006E 17.9 0.3 0.4

Nb, the company have gone some way today to getting a foothold in the US market , see todays RNS on next post.

cheers GF.

lol

Andy, just watch this one motor. I was speaking to Evil the other night, and he was full of praise for it.
cheers GF.

And yet more good news.

Blavod Extreme Spirits PLC
2 August 2004


BLAVOD DRINKS LIMITED
a subsidiary of BLAVOD EXTREME SPIRITS plc


Blavod Extreme Spirits wins key Italian wine distribution deals in the United
States


Blavod Extreme Spirits (BES), the London-listed drinks group, announces today
that it has signed partnerships with two key Italian wineries for exclusive
distribution in the US. BES will represent Baroncini and Bruno Rocca wines from
August 2004, adding two of Italy's best-known wine labels to its growing
beverage portfolio.

Baroncini has been producing wine in the Tuscany region of Italy for more than
500 years and its portfolio includes several of Italy's most popular wines - a
Chianti Classico, Brunello di Montalcino and Morellino di Scansano. The winery
is still family-owned, having passed down vine-growing and wine-producing
traditions since 1489. More information on Baroncini wines is available at

www.baroncini.it
.

From the Piedmonte region of Italy, Bruno Rocca is the subject of glowing
reviews for its elegant, modern-styled wines and unique packaging. The winery's
labels include Barbaresco, Barbera, Dolcetto, Nebbiolo and Chardonnay delle
Langhe.
More information is available at
www.brunorocca.it
.

Jeff Hopmayer, BES chief executive, said: 'We are delighted to have signed
agreements with two of the most exciting and talented wine producers in the
world. Our partnerships significantly boost BES's recognition as a global
beverage company.'

BES, maker of the eponymous Blavod Black Vodka, the world's only black-coloured
vodka, and the intensely flavour-infused Players Extreme vodkas and rums was
formed in December 2003.

Further details:
Blavod Extreme Spirits Giulio Galli +001 615 771 9111
Brunswick Laura Cummings +44 (0)207 404 5959
DSPR Donna Schwartze +001 314 330 3488

Notes to editors:
Blavod Extreme Spirits (
www.blavodextreme.com
) launched its eponymous black
vodka in 1998 and has an established UK sales network with distribution in
several major retail outlets, including Asda, Sainsbury's and Tesco. BES also
owns Players Extreme flavor- infused vodkas and rums, a fast growing range of
spirits recognized for their clean, balanced flavors and more intense finish.
BES is a London-based company with U.S. subsidiary offices.



202 FULHAM ROAD LONDON SW10 9PJ ENGLAND
TELEPHONE: +44 (0) 20 7352 2096 FACSIMILE +44 (0) 20 7823 3510
EMAIL:
rambler@Blavodextreme.com
Mobile: 07801 823 271
REGISTERED IN ENGLAND REG. NO. 3750677 REGISTERED OFFICE: 202 Fulham Road London
sw10 9pj VAT NO. GB 736 3300 54




cheers GF.

GF,

I have been watching this one since the Blavod days, and i'm still not convinced, although I would like to try the product!

Not sure if/where it's sold in the UK.

Evil had had some real howlers lately, so even the "guru's" come unstuck every so often!

Still on the watchlist, but prefer resources stocks at the moment.

Hi Andy,

Evils been roping it in in the last couple of months. Think you are a little behind on that one, I was speaking to him, only yesterday and he made about 40 grand on the horses this last weekend.

Anyway certainly agree with you on the mining stocks but for gods sake dont have them all in your portfolio, the guys at the pub will murder you if things go wrong in that sector.

Ive got an absolute gem of a new issue coming out on the 12th of august, Dyna Rod, well its new name is Dyna group, dont know yet what its opening price will be, but beleive me its one you can just sit back and rely on. Share growth year in year out its a real gem, but as with all new floats do you go in on the first day? or leave it to settle for a while???????????.

Taken some real stick over RAB, but not budging, looks to me like a good growth stock over 5 to 8 years, so I see no problems no matter what the boo boys think. I will have the dosh in my back pocket whilst they will be long gone from this business and thats the truth.

Good luck Andy and please stay in touch.

cheers GF.

ps, did you ever go for a tipsheet?????, and which one????????.

Excelent Results, have a drink on me Dil.

Blavod Extreme Spirits PLC
05 August 2004


Blavod Extreme Spirits

2003/04 Preliminary Results

Blavod Extreme Spirits plc reports its preliminary results for its financial
year ended 31 March 2004.

Financial and Strategic Highlights

Turnover up by 20.9% to 1.82m

Equivalent gross profit up 14.5% to 647,000 (excluding the
exceptional write-off of old stock)

Case volume increased by 30.9%

Strong cash position

Significantly enhanced marketing already under way

Rationalisation of businesses following the merger now complete and a
firm base for future growth established

Commenting on the results, CEO Jeff Hopmayer said:

'I am extremely encouraged by these results and look forward to seeing the
benefits of our merger in the latter part of the year. New partnerships with
both wineries and retailers, to which our recent announcement referred, and our
enhanced marketing approach, clearly demonstrate the exciting potential of our
niche brands on both sides of the Atlantic.'

Enquiries:


Blavod
Jeff Hopmayer CEO 0207 404 5959
Brunswick

Laura Cummings 0207 404 5959


Unaudited preliminary results for the year ended 31 March 2004

Chairman's statement

With turnover up by 21% and gross profit by 14.5% at the trading level,
excluding the exceptional write-off of old stock, there is evidence of a year of
satisfactory advance. It should be noted that the period under review includes
only 72 days of combined figures following upon the acquisition of the business
of Extreme Beverage Company LLC by Blavod Black Vodka plc and which was duly
completed on January 20, 2004 and yielded some 10m gross for working capital.
The transaction has brought new institutional shareholders to the Company and
new directors to the Board, giving us greater financial, commercial and
marketing experience.

The company continued to see satisfactory progress in key markets for Blavod,
particularly in the UK, Russia and European Duty Free. Our other UK brands also
grew, notably Domaine Baron Rothschild Wines and the Babco range of products.
Earlier in the year we announced agreement in principle to manage the
distribution of Marie Brizard alcoholic liqueurs in the UK and expect this to
add value to our growing portfolio of quality products in the domestic market.

The merged businesses have already seen benefits in a number of ways. The
purchase of the business of Extreme Beverage gives our newly-named company both
ownership of the Players Extreme vodka range in the USA - primarily in the
promising infused or flavoured vodka market - as well as real distribution
access for Blavod Black Vodka to key US wholesalers. A sustained TV and cinema
marketing campaign for Blavod Black Vodka, based on a cutting-edge commercial
directed by a world-renowned film maker, is also planned for later this year,
beginning in the North of England and the UK sales team has been expanded to
cope with the greater opportunities which the advertising will facilitate.

Much management effort has been expended in setting up a US sales organization
for the company's brands. This has already seen the opening of markets in 40 of
the US states and extensive marketing in trade and consumer publications to
support sales of the nine flavours of vodka, rum and gin which were owned by
Extreme. The management continues to concentrate on improving margins at the
production end of the business and the Players Extreme range will now be bottled
exclusively in the UK for overseas exportation.

Rationalization of the two businesses and an effective merging of the
operations, IT, human resources, production and marketing have been successfully
accomplished. As a part of this rationalization process, the following changes
have been made to the Board since this time last year:

Our Chief Executive is Jeff Hopmayer, the founder of the Extreme Beverage
company. Our Finance Director is Fred Read. David Falk and Robert Levin have
joined the Board as non-executive directors. William Phillips becomes Director
of Finance (International) and Richard Ambler is Chief Executive (International)
with a wide ranging responsibility for sales and marketing. David Wheatley left
the Board during the year and we thank him for his years of service. Andrew
Napier also stepped down but remains with the company as Sales Director of
Blavod Drinks (UK), the domestic operating arm of the business where he leads a
successful young team. With Lawrence Banks and myself as non-executive
directors, the Board now consists of four UK-based directors and four US-based
directors.


It is still early days in the new fiscal year and much is yet to be achieved.
The full benefits of the merger are not expected to show until the latter half
of this calendar year and in the meantime write-downs of old stock, as the
brands develop stronger and more marketable identities, as well as other
exceptional costs associated with the merger are reflected in the figures and
are the principal reason for the overall loss. In taking a fresh look at our
brands and as a result of consumer research, an early decision was taken to
provide a new look for the Players Extreme range which is intended to widen our
consumer base, improve margin, position the product for more international
acceptability and, in smaller part, respond to packaging changes by competing
brands. This will create a firm base for future sales growth.

We are expecting a significant increase in Blavod sales to the US over the next
12 months. A good beginning has been made, evidenced by the recent announcement
that Costco Wholesale Club of Northern California, the largest retailer of wine
and spirits in the US, is to stock Blavod Black Vodka. Blavod is also targeting
special marketing opportunities in the US during the later part of this year, as
is Players Extreme with its range of high-profile activities to support the
newly designed packaging for the flavoured vodka range. This range is being both
augmented and rationalized by the addition of new flavours in response to
consumer demand and extensive market research and the gin and rum based products
are being dropped in anticipation of other brands being brought into the
portfolio.

Further developments include the recent signing of US distribution agreements
for two distinguished Italian wine brands, Bruno Rocca and Baroncini. More
announcements in connection with the strong margin and large-volume wine sales
in the US will be made shortly. The strategy in this regard is to augment the
brand portfolio and improve revenues while continuing to keep focus on our
principal wholly-owned brands. With sales of imported wine in the USA continuing
to grow (by 4.9% this past year) the opportunity was taken to provide our sales
teams with products which create additional sales and marketing opportunities
across the range of our brands and especially for Blavod Black Vodka and Players
Extreme. The wine distribution agreements are long term and have no capital cost
aside from stock purchase. They will, thus, contribute to general revenue growth
while helping to move Blavod Extreme Spirits towards its goal of creating a
substantial position in the global beverage business.

Our employees have been especially diligent and hard working during the year
under review and, on behalf of shareholders, I wish to thank them for all their
efforts, their loyalty and skill.


PROFIT AND LOSS ACCOUNT for the year ended 31 MARCH 2004

2004 2004 2003
000 000 000
Turnover
Continuing operations 1,366 1,509
-acquisitions 459 -
-------- --------
1,825 1,509

Cost of sales (1,178) (944)
Exceptional cost of sales - stock re-packaging
provision (869) -
-------- --------
Total cost of sales (2,047) (944)
-------- --------
Gross (loss)/profit (222) 565

Marketing and administrative expenses (2,164) (1,032)
Exceptional item - stock claim provision - (149)
-------- --------
Total marketing and administrative expenses (2,164) (1,181)
--------
Operating loss
Continuing operations (819) (616)
- acquisitions (1,567) -
-------- --------
(2,386) (616)
-------- --------
Bank interest receivable 54 35
-------- --------
Loss on ordinary activities before taxation (2,332) (581)

Taxation - -
-------- --------
Retained loss for the financial year (2,332) (581)
======== ========

Loss per share (8.50p) (5.16p)
Diluted loss per share (8.50p) (5.16p)

All of the company's activities are classed as continuing. There were no gains
or losses in either year other than those included in the above profit and loss
account.


BALANCE SHEET as at 31 MARCH 2004
2004 2003
000 000
Fixed assets

Intangible assets 4,161 1,196
Tangible assets 41 20
-------- --------
4,202 1,216
Current assets

Stock 249 73
Debtors 921 249
Cash at bank and in hand 7,293 1,022
-------- --------
8,463 1,344

Creditors: Amounts falling due within one year (1,277) (329)
-------- --------
Net current assets 7,186 1,015
-------- --------

Total assets less current liabilities 11,388 2,231
-------- --------
Net assets 11,388 2,231
======== ========

Capital and reserves

Called up share capital 654 148
Share premium account 16,950 5,967
Profit and loss account (6,216) (3,884)
-------- --------
Shareholders' funds 11,388 2,231
======== ========


CONSOLIDATED CASH FLOW STATEMENT for the year ended 31 MARCH 2004

2004 2003
000 000

Cash outflow from operating activities (2,287) (241)
-------- --------
Returns on investments and servicing of finance
Interest received 54 35
-------- --------
Net cash inflow from returns on investments and servicing of
finance 54 35
-------- --------

Capital expenditure
Purchase of tangible fixed assets (10) -
Expenditure relating to the registration of trademarks (16) (8)
-------- --------
Net cash outflow for capital expenditure (26) (8)
-------- --------

Acquisition
Expenses related to acquisition (546) -
Cash acquired with subsidiary 2 -
-------- --------
Net cash outflow relating to acquisitions (544) -
-------- --------
Cash outflow before financing (2,803) (214)
-------- --------
Financing
Issue of ordinary share capital 10,000 -
Cost of share issue (926) -
-------- --------
Net cash inflow from financing 9,074 -
-------- --------
Increase/(decrease) in cash in the year 6,271 (214)
======== ========


cheers GF.

GF,

Thanks for the update on EK, I wasn't aware he had such success on the horses.

Agree re mining stocks, I feel balance is the key, so diversity into other sectors is essential, although hard to let go of ones that are doing well.

Agree re RAB, put my shareclub in it, and bound to be some flack next meeting, but I am going to recommend we average down, as I feel sure that we will see better days with this.

I never chose a tipsheet, but the one I would use is Techinvest, but as techs are out of favour at the moment, I'm going to wait until that sector returns to positive.

Cheers,

Andy.

For you guys : press mention in the Daily Mail Newspaper

Beyond the Footsie: Thursday close
5 August 2004, This Is Money

And hopes of increased sales in the US provided the spur to Blavod Extreme Spirits, 1p firmer at 34 1/2p.

Full year pre-tax losses widened to 2.3m from 600,000, but the company said it expects a significant increase in Blavod sales to the US over the next 12 months after signing a deal to represent Italian wine producers in the US.

In reaction to the news, Evolution Beeson Gregory repeated its 'buy' stance on Blavod with a DCF-based target price of 85p.

http://www.thisismoney.com/20040805/nm81162.html

WOW, many thanks Sue Helen for that 85p price target cant be bad and the company has about 7.5 million cash on its books.

cheers GF.

Glad to help Goldfinger!

The full note from the broker..............

5 August 2004
Blavod Extreme Spirits (BES) Buy (unchanged)

Mkt cap: 22m Net cash: 7m Final Results Price/Target: 33.5p/55p

Thats the Spirit!
The final results are ahead of our expectations, whilst the group has also
announced a redesign of the Players Extreme product range as well as the
introduction of two new flavours which will help drive future growth.
The final results for the year ended 31st March 2004 are ahead of our
expectations with the number of total case sales of 52,000 exceeding our
forecast of 49,000. As had been expected, this was based on a full 12-month
trading period from Blavod Black Vodka plc but only includes Extreme
Beverage Companys trading period from the 20th January. Turnover grew
21% to 1.82m and the overall loss before tax (pre-exceptional, preamortisation)
of 0.99m was less than our forecast loss of 1.26m helped by
lower than expected marketing costs. The groups closing cash position of
7.3m was substantially higher than our forecast of 5.8m. An exceptional
item of 0.87m relates to the write-down of old stock as the group moved to
a new product design, although we are confident that over the year, c0.2m
of this can be recouped. In addition to this, the group has also announced
that it has signed a deal to represent a number of Italian wine producers in
the United States, which follows on from the recent announcement that it has
added Italian wine producers Baroncini and Bruno Rocca to its growing
distribution network.
Blavod (000m) Actual Forecast %
Cases Sold 52,213 49,000 6.6%
Revenues 1,825 1,813 0.7%
Gross Profit 647 598 8.2%
EBITDA* -1,047 -1,280 18.2%
Pre-tax Profit* -993 -1,264 21.0%
EPS (p)* -3.6 -5.4 33.0%
Net Cash at Year
End
7,293 5,836 25.0%
Source: EVBG estimates and company data * pre-exceptional pre-amortisation
The company has continued to see satisfactory progress in key markets for
Blavod Black Vodka (BBV), particularly in the UK, Russia and European
Duty Free and the group is now providing real distribution access for BBV to
key US wholesalers. The US represents the biggest scope for potential for
BBV, especially given that the US is the most important vodka market in the
world and we expect BBV sales to the US over the next 12 months to
increase. This is supported by the recent announcement that BBV had
received a listing agreement with Costco Wholesale Club, which is the
largest retailer of wine and spirits in the US. Costco will initially only stock
BBV and distribution is expected to be in place by October 1, 2004. Whilst
Results are ahead of expectations
The group are creating a firm base
from which to grow sales of Blavod
Black Vodka
BLAVOD EXTREME SPIRITS
AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN JUL AUG
25
30
35
40
45
50
55
Source: DATASTREAM
5 August 2004

Initial distribution will be in Northern California, we expect this to expand
throughout Costco's distribution network in due course. The agreement is
also likely to raise the profile of BBV in the US as management focus on
increasing the distribution of the brand.
In terms of the Players Extreme products (PE), the group has announced a
new look for the range which is intended to widen their consumer base,
improve the margin and position the product for more international
acceptability. The redesigned bottles have been well received by the
distributors and have started shipping, whilst the addition of new flavours
in the form of a Caramel Vodka and a Mango Rum should help bolster
growth. Along with the introduction of new flavours, the group are no
longer carrying the PE base rum or gin products. Until recently, the
manufacturing of PE took place in the US. However, production has now
moved across to the UK and will be manufactured and bottled at the
Hayman Distillery. This will ultimately mean that PE will be imported into
the US thus commanding a better premium.
In terms of trading and forecasts, we estimate that the group has lost c2
months of trading in PE in switching to the new bottle design and case
volumes have also been impacted by the exit of PE base rum and gin. As a
result, we are maintaining our full year forecast of 229,000 case sales until
there is greater visibility on the success of the new design. Going forward,
we expect marketing costs to represent about 45% of sales in 2004/05e
dropping off to only 27% of sales in 2005/6e. We still expect an operating
loss of -3.1m in 2004/05e, but expect the group to break even in 2005/06e as
the marketing costs stabilise and the sales volume increases.
Valuation is less straightforward and historically the main valuation metric
has been industry exit multiples for previous transactions and case sale
ratios. These give a range of between 55p and 80p a share. However, there
are risks and the group is still in the early stages of growing both the BBV
and PE brands and as such our price target of 55p reflects the lower end of
our range. As the strength of the brands grows and they become more of a
strategic asset, this could move the valuation towards the top end of our
range in line with our DCF value of 85p.
Assad Malic +44 (0)20 7071 4407 assad.malic@evbg.com EVBG is broker to Blavod Extreme Spirits
Year end Sales (m) EBITDA (m) PTP (m) EPS (p) PER (x) Yield (%) EV/EBITDA (x) Revised?
03/04A 1.8 -1.0 -0.99 -3.6 - - -
03/05E 9.5 -2.9 -3.0 -4.7 - - - No
03/06E 17.9. 0.6 0.3 0.4 84 - 24.3 No

cheers GF.

shares mag makes this one a sell.

Is it the AGM today? Isn't it normal for the CEO/Chairman to release an AGM statement?

GF, are you still in these? Looking at the last RNS from the 12th, and reading of a rumour of a big buyer about, and the fact that the price is so low - I'd say its a buy right now.

Yes still in. Not temped to add just yet but feel this kind of stock will go up with the increased advertising going up to xmas.

cheers GF.

And wow did it just...........................

Blavod Extreme Spirits gained almost 30% at 22p after a trading update showed Q3 case shipments had jumped 97%.

cheers GF.

Do you have any updated research from Evolution BG

Will have a look.

cheers GF.