GFY - Capital Raise, page-9

Aggybabe, I can see that you did quite well in GFY...PPT from whom you bought ripped up serious dough though! In at close on $3 and out at less than a buck! Ouch!

I accept your thoughts on cashflow and agree, this as a major concern going forward. I'm thinking that the company has recognized this matter in their announcements and have a strategy in place. Plus, they have made a few somewhat positive statements on progress. For example:
"John is already bringing about much needed change and the Board has confidence in his ability to reposition thebusiness, particularly given his established turnaround skills."
and
“Fundamentally the Godfreys business is sound. Our financial position remains solid, we have a strong brandand we operatein a market that continues to demonstrate solid growth fundamentals,”

and John Hardy commented:
“I am enthused by the opportunity to bring about much needed change at Godfreys.
Since taking overthe leadership of Godfreys in July, my initial efforts have been focussed on addressing some obvious gaps in our product range. In conjunction
with one ofour global manufacturing partners, we have products under development
as a key strategy to better capitalise on the opportunities in the premium market.
“I also see opportunities to better support our sales team with enhancedtraining and a re-aligned marketing strategy. The very preliminary results from this strategy have been encouraging.”

So he seems to be addressing the issues that have affected the product...and frankly its a pretty damning indictment of the previous CEO's and the board. I mean sales training and marketing strategy are business 101!

A couple of questions of you: Why the change in CEO's (particularly Kathy) and do you think Hardy can do the turnaround?
What talent at board level exists re finance and how strong is the CFO?
If you don't believe you can respond here, I'd l love to get your thoughts by email [email protected]
As it happens I got stopped out today whilst protecting my capital base...but like ValueInvestor I believe they have a focus much, much sharper than Dick Smiths. They sell vacuum cleaners that's it! And I'd be pretty sure that if the general public were asked to word associate  "vacuum cleaners" the name "Godfreys" would be in the first three responses.
I also agree with ValueInvestor that this market is huge and it isn't a scenario of Dyson or Godfreys...surely history has proved that they can co-exist?