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Stocks T / TNPC, Inc.

URL:  http://boards.fool.com/thats-the-point-i-made-about-growing-slower-they-16601455.aspx

Subject:  Re: Welcome Goon Date:  1/31/2002  11:05 AM
Author:  Steadfast7 Number:  59 of 71

That's the point I made about growing slower. They don't have to grow as aggressively as they have. From my estimates, they are receiving more than a million dollars a day from operations. As with all businesses and individuals, they can live within their means. Borrowing money will bring another obligation that I don't think is a wise idea at this time. Although a lot of debt is being carried in this industry, almost every energy company has downgraded credit ratings. Off hand, I can't think of one that hasn't. So the amount of credit we'd be eligible for might not be worth the obligation. Cost of goods is the largest necessary expense, overhead isn't overbearing and management can take a pay cut until they make this a profitable operation. This business produces cash revenue every day. Television isn't the only media to market this business and we'd be kidding ourselves if we think that we can burn money on that media for very long. If there are any better ideas, I'd like to hear them. I like the aggressive business plan and if the management can see their way clearly without heeding my advise, then they should ignore it and pursue with their more informed strategy.

At any rate, my opinion on this and a dollar will buy a cup of coffee.
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