Ann: Company Update Presentation , page-2

Nice...

Can I ask the PEH experts a couple of lazy questions?

Am being picky... I like the positives here... but am trying to be cautious too... so label me a monster if you wish.... just asking.

(Good grief.... I still have hopes for some ASX tragics... so my opinion is no recommendation for much... positive or negative.... just askin !!)

Love the list of PEH clients.... and the greenish/work with eco story here.

PEH Positives are very clear


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1) DEBT REDUCTION

Some of the improved revenue and profits have come from the newer acquisitions..... the aim being to reduce cost of sales by having many of these nice smaller "profit accretive" businesses managed more efficiently... under the one umbrella?

These improved revenues have of course come at a price (and some has of course been put off as performance based future staggered payments)... and now the hope is to trim those running costs to gradually reduce the new debt?

This report from 12 months ago put the thought of a possible cap raise as an option.... along with debt.... equity etc

http://www.asx.com.au/asxpdf/20131101/pdf/42kkygxlbxcvt7.pdf








Any thoughts on how the debt management is going.....?

Not saying if there would be a cap raise... that it would be a lower than current shares price.

Seems PEH are favouring the debt route in any case.... cap raise unlikely in this shaky market?

Profit true... but as of June 30, 2014 PEH had...

+$4.6 million cash and trade receivables
-$5.7 liabilities (debt and payables)


See page 41 of link below...

http://www.pacific-environment.com/wp-content/uploads/2014-Annual-Report-Final-21.pdf

A few newer expenses since then are.....

* 22nd Sep 2014 Acquisition cost approx $400,000 (plus future $500,000 installments)

* 3rd December ROKZair Consulting addition will cost an additional $100,000 per quarter

* V2.0 roll-out costs???

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2) Envirosuite 2.0 ROLLOUT and TRIALS

Any feedback on the past track record of PEH development and target times being met for the company?

Back in November 2013 the target for the 2.0 roll-out was as below...




See page 16...

http://www.asx.com.au/asxpdf/20131101/pdf/42kkygxlbxcvt7.pdf



Seems there has been a fair bit of a delay with December 2014 the new kick-off.... with NZ contract.... unless I have missed something.

A little later in 2015 for overseas?

Any PEH old-timers.... did v1.0 roll out smoothly?

I would imagine it would be a fairly intense period of investment to make sure the new customers and platform are bug-free with the V2 roll-out?

Once again... love the concept... just asking about past record of timely and profitable execution.

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3) OPPIES and MARKET CAP (as of 3B on Dec 5th 2014)

http://www.asx.com.au/asxpdf/20141205/pdf/42v916mbjzwpjw.pdf


According to my trusty calculator... there are about 30 million PEH oppies... many of which that are now at... or are "in" the money.

Various exercise prices of the bulk of oppies are $0.025 / 0.03 / 0.05 / 0.07 / 0.08 / 0.10 / 0.12 / 0.15 / 0.16 / 0.20...

Or course ... there are also a few longer dated ones up near the $0.75 - 1.00 dollar mark too.

Any thoughts on how or if the oppie factor will affect the SP in the short term?

Not sure if there are restrictions on exercise.... no doubt some cheaper ones are held by management?

Some may also expire due to terms other than time frame?

127,000,000 shares at 25 cents (excluding the high priced ones) still about $32,000,000 Market Cap

Is there a broker behind this to help things along also?

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4) ACQUISITION PROFITS

Seems some of the new purchases have some outstanding figures....

At a quick glance $2.4 million approx purchase yielding a $1.2 million profit straight-up....

That is numbers to die for...!

Any reasoning on this... one off bump in numbers... massive benefits immediate in management restructure... purchase of distressed asset turned around.

Noted that the PEH debtors are listed in A B C D time frames.... the D's are as far out as 120 days + payable?

Any thoughts... are some of the nicer numbers to continue at the same pace... or have there been a few very nice... but inconsistent lumps of cash come through the PEH books of late?

I have no idea.... maybe some PEH ers's know the ins and outs of cashflow?

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Thanks heaps for any feedback... I is always learning.

bsh