Benj Gallander Norsat International NII-T COMMENT Apr 17, 2013

Doubled down on his holdings at the end of last year at $0.46. Company’s recent revenues were down, which is not a good indicator. At the same time, a lot of that is because of frustrations in the US. Even though revenues were down, they still managed to be profitable. Recently did a very, very small takeover. It is on his Buy list.

On his buy list. He doubled down last December. Most recently quarterly earnings were down 20% but they managed to remain profitable. Very well managed but they need the government to buy more satellites. He is going to stick with it. If it starts to move hopefully it will start to really move.

One of the 5 companies that went down in value in his portfolio. Doubled down in Dec/12. Making a bit of money. Had a lot of problems as the US government was buying less. His average price for this has been $0.56. Happy to hold it and is keeping it on his Buy list. Management is very capable. Just a matter of time before the company starts to turn around. Target price of over $1.

Just signed a $1.5 million contract with the Canadian government. Not huge for most companies. This stock has been doing lots of nothing for a long period of time. They are paying down their debt from the Sinclair debt. Financial papers are pretty good.

Just reported reasonable results. CEO continues to turn it around. They are cash flow positive for the first time in 4 years. He continues to have it as a buy.

One of the few stocks that is down in value in his portfolio. Has been sitting in his portfolio since 2007. His target price is $1.14, although he thinks it can go further than that. The most recent quarterly results had revenues down about 10%. On the bottom line they made $.02 a share. They are having difficulty because of sequestration in the US, so there are fewer orders for their satellite systems. Management is controlling expenses and are paying down debt.

Decided to do a stock consolidation last January, so he sold his holdings. He likes the company and he likes the management, but historically stocks that consolidate, 90% of them are down a year later. It would not surprise him to see this down by the end of the year.

Last earnings were quite good. Sold his holdings at $5.50. Has tremendous confidence in management, but the company just can’t seem to gain a lot of traction. Also, they are looking to do a takeover. The one major problem with this company is that it doesn’t trade. The average volume in a day might be a couple of thousand.

His plan was that when they had a consolidation he would Buy back in. However, it is a stock that hardly ever trades and it is very difficult to buy and sell. Good management. Thinks it can go higher.

This is in the middle of a takeover. There is a Chinese and an American company that want to buy it. It is more of who is going to win, as opposed to whether it is a good or bad company. There are also politics involved.