Is the CEO’s performance, as represented in the below graphic (click to enlarge), (excerpted from the most recent 10-K report here) worthy of the title of The Worst CEO Ever ??? They say, even a blind squirrel finds a nut once in a while, but apparently this CEO, after having spent millions and millions of dollars of investor funds (3.25 million this year alone), doesn’t seem capable of making decisions that result in even $1.00 of revenue. HOW is that possible. Could such even be duplicated in some sort of business simulator by a professional ?
We are not talking about “profit” here… we’re talking “revenue” ! Even if you buy a widget for $10.00, and sell it for $5.00, aside from not being to smart to sell it for $5.00… you still have “revenue” of $5.00. Again… how is it possible that there is NO revenue… not even a dollar ! Is Mr. Steven Samblis, CEO of IC Places, Inc. running the advertising that can be seen on the IC Places website for FREE ??? Is he not making a dime from the Prescription Discount Card program, or not generating ANY revenue from the VU Television (now DriveIn Television) effort ??? Really… HOW is that possible ? Can anyone put forth a scenario in which this could be possible ?
OR… is it possible revenue IS being generated, but its being recorded outside of the public company? Is there more to the “Strategic Partnership” than investors are being told ? Mr. Samblis has said that the public company “manages” the other business divisions, but it doesn’t appear that this “management” contract and/or details have even been publicized. Could it be that NO management fee is being paid (or perhaps charged), yet these divisions are generating revenue ?
In the entertainment business Agents manage entertainers, and those entertainers make money (generate revenue). It would be possible, (unlikely, but possible) that although an agent “manages” the entertainer… he/she takes or accepts no management free for their efforts. An example may be, a parent manages his/her child, and although they would perhaps be entitled to charge/accept a fee for such, they chose not to. Nothing illegal about not accepting a fee for your efforts… in the right circumstances.
What are YOUR thoughts? Perhaps you have an explanation of how its possible for the public company to record NO revenue for a full years efforts, while its plain to see advertising being displayed and business appears to be being conducted. As many say… this just doesn’t pass the smell test !