.comment-link {margin-left:.6em;}

Sunday, May 22, 2005

b-Fast Corporation

The b-Fast Corporation provides airport services for general aviation at the Harrisburg, PA airport. They mostly provide fuel and lose money. But they have a plan:
We continue to explore investments in other business opportunities not related to the aviation industry. To this end, b-Fast, in conjunction with Brant formed RTB/AS in January, 1999. The purpose of this company is to invest in the auto racing industry.
Sounds crazy, but it seems to pay the bills (at least the ones they've chosen to pay):
During fiscal year 1999, b-Fast entered into several transactions involving the auto racing industry, all of which were anticipated to diversify the business risks associated with our then dependency on general aviation services. During fiscal year 2002, these transactions produced a major source of our cash flow, amounting to $1,279,000. During fiscal year 2003 we received $451,000 from RTB/AS, L.L.C. ("RTB/AS"), which more than offset the $358,000 used in operations. During fiscal year 2004 we received $405,000 from RTB/AS again more than offsetting the $244,000 used in operations. We expect a similar cash flow in fiscal 2005.
If you could somehow ignore their existing debt (about half of it is in friendly hands), they generate something like $0.3 million in cash flow with about 8 million shares outstanding (about 3.75 cents per share). The stock trades about once every few months at around 15 cents.

UPDATE Oct 2005: Silly me, I wasn't accustomed to seeing quotes on the pink sheets. That was 1.5 cents, not 15 cents. I still wouldn't buy the stock, though.

Comments: Post a Comment

<< Home

This page is powered by Blogger. Isn't yours?