G'Day Joyce002I have no idea where the Commander share price...

G'Day Joyce002

I have no idea where the Commander share price will go from here. It could go up in the short term if Hunter Hall decided to buy up some more shares. Clearly if there isn't some signs of that turn-around, the share price will move further south.

Do I think that Commander can turn it around. Like most companies with 1,500 staff, it takes more than one person to run it (it is more than just up to Amanda). I don't think think the management team which Amanda has in place, have what it takes, however to be fair, they have been given a huge task.

Commander definitely have desirable assets. As I highlighted in an earlier posting, the challenge is that prospective purchasers know that Commander have to sell. The other challenge is that whilst the management team are busy owning the sale process, they are not busy running the business. I don't think that people who have faith in Commander, have given this challenge much thought.

To find out what is for sale, phone Sydney reception and ask for Amanda's Personal Assistant, explain that you are an interested purchaser (in parts of the Commander business) and ask to speak to the person who currently owns this process. I believe that Commander are currently approaching companies who they believe, will be interested in the parts of the business which Commander wish to sell.

You obviously know a little about Commander to know they have a break-fix business. Unfortunately, the Break-Fix business has been decimated by their recent decision to withdraw from the I.T. market. The Break-Fix business was an excellent little business, however 80% of the repairers working on 3rd party equipment have recently left and gone to competitors. Nearly all that is left (staff wise) are the IPEX break-fix team. The original plan was to sell the Break-Fix business, however the "withdrawal from the IT market" announcement was handled badly and most of the good staff left almost straight away. It is my belief that they will not be able to sell the Break-Fix business. I believe that they will have to pay someone to take it, because it carries all the warranty provisions for the IPEX hardware.

As for stock to buy, I don't have any ripping good buys right now. I do think that when the court case for Sirtex is over, (and providing that the court case outcome is not a big negative), that SRX could represent an good opportunity. Do some research on it and see what you think.

Regards

Tails