LUM 0.00% 2.3¢ lumacom limited

newspaper clarification etc

  1. 1,005 Posts.
    Shame i cant find the prospectus for lumacom as it had the costs involved and how cheap the signs are compared to other competitors and how good their margins are.

    You can go to www.lumacom.com.au if you dont know a great deal about what lumacom actually does...but basically from what i can tell they make those huge neon signs of any size and type and a huge discount to competitors.On top of this product is easier to install...can be still or moving...is cheaper to run...cheaper to maintain..can be programmed via the net etc etc

    I do remember seeing some figures for the massive neon signs they have in Japan..if my memory serves me correctly they cost around 30 mill a pop...the same price as lumacoms market cap.

    Lumacom also holds worlwide patents for the product.

    The best part of the whole thing is that they are essentially going to advertise themselves and when the yanks start asking about who built the sign and look into the product and then start buying lumacom up this stock will really move...also most traders i know are taking positions in this stock and not trading it due to the potentail which is only going to make the stock tighter and tighter.


    C L A R I F I C A T I O N O F N E W S P A P E R A R T I C L E
    ASX Media Release 11 July 2003
    Lumacom refers to the newspaper article that appeared in The West Australian on 10 July 2003 (copy
    attached) entitled “Lumacom lights up Times Square”, and seeks to clarify certain points contained in
    that article.
    As advised to the market initially in February 2003, and confirmed in the Company’s 12 June
    announcement, Lumacom has been negotiating to secure signage rights to a significant site in New
    York. The Company confirms that the site referred to is Number 4 Times Square, a building owned by
    the Durst Organisation, a company controlled by US property tycoon Douglas Durst.
    Lumacom, through its US joint venture partner Totius Media, is negotiating the installation of, initially, a
    LumaSign to be fixed to one side of Number 4 Times Square, and subsequently LumaSigns for the other
    three sides (total area of the four signs will be approximately 1,200m2) on the back of advertising
    contracts to be entered into. It should be noted that no advertising agreement has yet been concluded.
    The details of discussions with advertisers and the precise nature of the lease deals currently under
    negotiation have not been finalised and Lumacom is not in a position to release further details at this
    time. Mr Sala will be in the USA in 2 weeks to progress negotiations further.
    It is premature at this stage to discuss potential revenues that may be generated through the
    arrangements, and the Company is not able to release projected revenues and costs until firm
    arrangements are in place. Accordingly, no authority should be placed on the revenue figure of $A47
    million which appeared in the article, nor the lease cost of $A1 million, until finalised contracts are
    announced.
    It should also be noted that whereas Lumacom already has a revenue share agreement in place with the
    Durst Organisation for installation of LumaSigns on Number 4 Times Square, under the JV arrangement
    between Lumacom and Totius, Totius is (on behalf of the JV) negotiating a direct and fixed property
    lease deal for installation of the LumaSigns.
    The Company’s Managing Director, Rodd Sala, confirms that he is hopeful the first LumaSign will be
    installed by November 2003, and confirms that Number 4 Times Square is the only skyline site approved
    by the City of New York for electronic signs of this kind. Carrying stationary advertising during the day
    and video advertising at night, the billboards will be visible from New Jersey to Long Island and the
    Statue of Liberty. Because of its location relative to other electronic billboards, it was expected that the
    LumaSign will dominate the skyline, making it one of the premier sites in New York.
    The Company confirms that under the joint venture arrangement, Lumacom and Totius will split the
    $US6 million cost of building and installing the billboards and share the advertising revenue.
    The Company confirms that it is in negotiations for other LumaSigns in New York and in discussions for
    many more across the US and Europe that will ultimately form a multinational network. It is expected
    that the commitment being made to the Company’s product by the Durst Organisation and advertisers
    will expedite negotiations with other parties.
    Rodd Sala
    Managing Director


    Go you good thing!!
 
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