http://finance.yahoo.com/news/kit-digital-inc-announces-restatement-220640254.html
KITD, bankruptcy watch
KITD, bankruptcy watch
The Shorting of Frauds, Overhyped and Bankrupt Stocks Journal
- Thread starter Daal
- Start date
I saw that, but the $3.75 cash buyout offer confuses things a little.
http://finance.yahoo.com/news/former-chairman-ceo-kaleil-isaza-115900528.html
Obviously with the shares at $0.90 the market is highly sceptical of the offer, however, it does create the possibility of a short squeeze back towards $2.
Just called 5 sales reps from TEA. They had all said to the short seller that the teas were organic and there was no pesticides in them. This time 2 of them backed out completely from that and said it was not certified organic and there was a small amount of pesticides in them but it was "healthy" and "within the regulations", the other 3 backed out from the organic saying it wasn't US organic but they did continue to say that there was no pesticides in them(a lie)
The 2 ones that backed out completely sounded like they were retrained to say something else
The 2 ones that backed out completely sounded like they were retrained to say something else
I've been rooting around the internets looking for reviews of their stores, their products, all that stuff.
Two things stand out:
1 - Extremely high pressure sales tactics reported by both customers and employees. I thought to myself "Hmm. They're not going to get a lot of repeat business if that's how they are." Sure enough: http://www.reuters.com/article/2012/05/30/us-teavana-results-idUSBRE84T0YB20120530
Looks like that's the reason the shares had been diving prior to the Starbucks offer.
2 - It's well nigh impossible to return an item you've bought from them if you're dissatisfied. I've read tons of online reviews by now, and the ones from the folks who were dissatisfied have two common themes: the high pressure sales tactics mentioned above, and for the folks trying to return what they bought, the complete impossibility of doing so.
That combo, high pressure sales tactics and making it pretty much impossible to return a defective/unsatisfactory item, are two huge red flags. This sounds like a place run by people who don't understand how to get repeat customers.
There are any number of reviews where the people report that they can't even get a cup of tea from the place, as the sales force is trained to not sell a cup of tea, but try to sell the actual tea leaves and sell them in the company provided tins that happen to cost seven bucks a piece.
I have no idea, after reading all of this, what Starbucks was thinking when they bought this POS.
re: Tea
The teas sell themselves if you are a tea drinker and go taste what is given away free. They suggestive sell. To me it seems like a whole tea culture that fans could obsess over in the same manner that barristas make fancy patterns with cream in ones coffee. Not high pressure. Never tried to return a tea, also never tried to return coffee or soda to anyone either.
I have no knowledge or interest otherwise, just my man on the street report.
The teas sell themselves if you are a tea drinker and go taste what is given away free. They suggestive sell. To me it seems like a whole tea culture that fans could obsess over in the same manner that barristas make fancy patterns with cream in ones coffee. Not high pressure. Never tried to return a tea, also never tried to return coffee or soda to anyone either.
I have no knowledge or interest otherwise, just my man on the street report.
Here's the video put online by glaucusresearch .
http://vimeo.com/53883094
ATM borrow fee is around 9% with IB
http://vimeo.com/53883094
ATM borrow fee is around 9% with IB
Tea can't be returned, obviously.
But assuming you've actually been to a Teavana, the tea pots are out front. They warrant those, as they do the tins they try to get you to take the tea in, and their "Perfect Tea Makers", tea spoons, etc. There's story after story I've read from people trying to return some piece of hardware they bought from them and being unable to.