Reliant Home Warranty Corporation (www.relianthwc.com) offers the sub-prime residential mortgage market High-Ratio to value mortgages that includes self-employed consumers and those with difficult credit.
I read the latest SEC Quarterly filing plus visited finance.yahoo.com.
They seem to be putting the right measures forward but are they generating profit from those applications?
I look at the current assets - current liabilities for the working capital and it doesn't look very rosy. I don't plan to purchase any shares of it. Ben Graham's value investing - notes that people should stay away from investing in financial institutions and I'm certainly biased to agree.
RHWC has significant debt and interest rate risk. I prefer to look at companies that have high current ratios over successive quarters and this one doesn't smell all that good.
Just my 2 cents.
- Bill
"If you have no goals in life you are condemned to work for those who do." - Brian Tracy, Time Management Guru.
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I can give you gleaming reports that compare the potential of this company to like companies in the industry or the fact that they are doing loans in Canada that is currently buffering them from the USA housing situation but now I will give you the following that are real numbers:
Reliant's First Full Week of Operations Provides over $4 Million in Mortgage Applications
2006-08-02 07:46 CT - News Release
TORONTO -- (Business Wire) -- Aug. 2, 2006
Reliant Home Warranty Corporation (OTCBB:RHWC) today announced that the first full week of operations for the company's Canadian subsidiary, Reliant Home Mortgage Canada Inc., yielded over $4 million CDN in mortgage applications being initiated by Reliant Mortgage Lending Partner member brokers. To date, over $1.65 million CDN in mortgages have been approved. Reliant Home Warranty Corporation President & CEO Boyd Soussana stated, "We are pleased with our initial results and with the performance of our working partners. This initial roll-out involved only a fraction of our broker partners in the provinces of Ontario, Nova Scotia and New Brunswick. In the coming weeks, expanding operations will commence in the provinces of British Columbia, Saskatchewan and Alberta. Judging the response to our initial week of operations, we are very confident about our future."
About Reliant Home Warranty Corporation
Reliant Home Warranty Corporation (www.relianthwc.com) offers the sub-prime residential mortgage market High-Ratio to value mortgages that includes self-employed consumers and those with difficult credit.
This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21B of the Securities Exchange Act of 1934. Any statements that express or involve discussion with respect to predictions, expectations, beliefs, plans, projections, objectives, goals, assumptions or future events or performance are not statements of historical facts may be forward-looking statements. Forward-looking statements are based on expectations, estimates and projections at the time the statements are made to involve a number of risks and uncertainties which could cause actual results or events to differ materially from those presently anticipated. For a summary of such risks and uncertainties, see the Company's periodic reports and other filings with the Securities and Exchange Commission.
Their debt for 2006 is only 1.4M on 86M shares and already they are booking 4M in their first week of business. Last count it is up to 10M. The math is unbelieveable! Their loan vehicles are not set up only as traditional loans giving them alot of flexability and profit on higher mortgage rates. All this at 12 cents a share to me screams a buy .
If you want to diversify your BB portfolio with high potential stocks from all the industries then I can't find a better stock from this industry. If I am right, then we will see this company climb very fast and by January should close in on the .50-1.00 mark. Targets are for up to 9 bucks a share. I don't think we will see that anytime soon but over 1.00 next year is not only doable but I am betting on it with 70K shares.
The only side point I see is since this is such a hot little number all the shorters will be after it waiting for their time to strike.
There's more. In june company letter to share holders had the following,
"So there is no misunderstanding, Laurus nor any of its affiliates or investment partners has or will cause any person to directly engage in "short sales" of Reliant's Common Stock as long as the Secured Revolving Note shall be outstanding per our agreement. Clearly, we feel our company's stock has been shorted over the last few months; we are taking actions to combat this. Furthermore, it is our belief, using consistent updates on revenue, along with a defined branding and image campaign will benefit all long-term shareholders."
YET, the share price rose steadily from around .06 to high of .14 in the latest month. This company in a "hostile" industry with truly hostile shorters still posted this recent gain of over 100%.
More to be posted ..... I am finding this to be the best investment I have found to date and COMPLETELY underestimated by most everyone!
You may be right on this one however I'm still a little skeptical. I'll continue to watch it.
There's significant competition for Mortgage companies and each trying to be the low cost competitor.
The market for mortgage loans and the companies themselves have little barriers to entry and they don't seem to have an economic moat around their operations. I wonder what differentiates them from other Mortgage companies aside from their mortgage bookings?
Bill
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$3 billion...$750 million...Do those numbers grab your attention? Allow me to tell you how those numbers relate to the easiest money that you will ever make. Since the Fed began hiking interest rates two years ago, the actual cost of owning a home has steadily increased. As such, many homebuyers have increasingly utilized sub-prime or non-prime mortgages. Since 1993, the number of sub-prime loans to purchase homes has increased over 20-fold. In 2003, sub-prime mortgages comprised nearly 10% of all mortgage originations in the U.S. with a value estimated at $332 billion. Many large NYSE and NASDAQ stocks have reaped the benefits of sub-prime mortgage growth within the US. For example, New Century Financial Corp. (NYSE: NEW) has seen its stock price rocket from lows approaching $5 to highs eclipsing $60...and this included a 3 for 2 stock split! Accredited Home Lenders Holding Corp (NASDAQ: LEND) has seen its stock price blossom from lows approaching $7 to highs of nearly $60. Countrywide Financial Corp. (NYSE: CFC) has seen its stock price explode from lows of under $5 to highs of over $40...and this stock has split an astounding 5 times!
One thing that LEND, NEW, CFC, and other sub-prime home mortgage stocks such as SAX have in common is that each of them has a market cap that is close to twice its annual revenue. (See Table 1) STOCK REVENUE MARKET CAP CFC $9.9 billion $20.1 billion NEW $1.4 billion $2.3 billion LEND $577 million $720 million **LEND had a market cap of over $1.1 billion just a few short months ago SAX $230 million $694 million
Admittedly, home mortgage stocks are not very sexy. Face it, we are not talking about cutting edge biotechnology or red hot internet stocks, we are talking about homes and loans. As such, the nature of these stocks leads them to have relatively conservative valuations. The P/E and PEG ratios for these stocks are very small, much smaller than what you see for similarly performing tech stocks. Unlike tech stocks, however, which tend to be very volatile, home mortgage stocks are often very stable and provide a relatively safe investment. Now, don't get me wrong, home mortgage stocks can provide amazing gains. Just look at what CFC has done. Had you purchased 1000 shares of CFC in the early 1990's, you would now have 9000 shares as a result of CFC's many stock splits. On top of this, while CFC was splitting multiple times, the price of the stock also climbed from $5 to $40! Your initial $5,000 investment would now be worth almost $300,000!
Now that we have a basic understanding of sub-prime home mortgage stocks, I want to tell you about the easiest money that you will ever make! Wouldn't it have been nice to have purchased shares of CFC before it began its amazing run? Well, my friend, let me tell you that you do have that opportunity with Reliant Home Warranty Corporation (OTCBB: RHWC). Like CFC, NEW, and LEND, RHWC is a company that originates, finances, securitizes, services, and sells nonprime mortgage loans. Unlike those other companies, however, RHWC has a stock price that is only 7 cents! Wait a minute...don't stop reading or you will forever regret it! Why is the price of RHWC so low you ask? Well, for starters, RHWC just opened for business about 2 weeks ago. The company, in its present form, was formed just over one year ago. Over the past year, RHWC has painstakingly laid the foundation for its operations as a home mortgage lender by forming alliances with some of the biggest names in the real estate industry. One such company is Centum Financial Group, Inc. Centum is one of Canada’s largest mortgage brokerage institutions with over 100 locally franchised mortgage centers and over 800 mortgage professionals. According to the Reliant's agreement with Centum, Centum will act as a Reliant Mortgage Lending Partner with a commitment to promote Reliant’s mortgage suite products to its clients. With an anticipated $3 billion in mortgage originations over the next year, Centum has the potential to provide Reliant with a substantial revenue stream. Reports show that, on average, mortgage brokers handle anywhere from 50-65% of their client's mortgages. If Centum mortgage brokers generate $3 billion in mortgage originations, this could funnel anywhere from $1.5 billion to $1.9 billion to Reliant! To expeditiously close these loans, Reliant has teamed up with Stewart Title to facilitate title insurance and mortgage closing services. With over 5,000 offices worldwide and annual revenues approaching $1 billion backing its Canadian operations, Stewart Title is a powerful partner for Reliant. Speaking of powerful partners, Reliant has also teamed up with international insurance giant Brit Insurance Holdings PLC. Based in the United Kingdom, Brit Insurance is a member of the FTSE 250 Index and has a market capitalization of $2.2 billion. Reliant’s re-insurance treaty with Brit provides default payment coverage for mortgages in the Canadian market originated and held under service by Reliant.
For such a young company, and one that is quoted by the OTCBB, numbers such as $1.5 billion may sound a little far fetched to some. In actuality, these numbers may be too low! In January 2006, Reliant announced the following projections:
-- 1st Year profit of $12 million net before tax on revenues of $750 million USD. -- 2nd Year profit of $18 million net before tax on revenues of $1.2 billion USD. -- 3rd Year profit of $30 million net before tax on revenues of $2 billion USD.
Two weeks ago, Reliant "opened for business" and began to process loans from Centum. To test their software platforms such as their S.M.A.R.T. system, Reliant limited initial operations to a small number of Centum mortgage brokers, primarily from Ontario. In only two weeks, this limited number of brokers provided Reliant with over $7 million in mortgage applications! By September 2006, Reliant plans to expand operations to include Centum mortgage brokers in the provinces of Ontario, New Brunswick, Nova Scotia, British Columbia, Saskatchewan, and Alberta. If a limited number of Centum mortgage brokers from Ontario produced $7 million in mortgage applications in only two weeks, imagine what will happen when operations expand to full scale in September!
If you have ever traded penny stocks, you know that while most companies make big promises and grandiose projections, few ever deliver. Well, RHWC is proving that notion wrong and is delivering in a major way. In only two weeks of limited operations, Reliant has already generated more revenue than a majority of companies quoted by the OTCBB. Realize that this revenue currently comes from Centum alone. Reliant has the opportunity to greatly expand their revenue stream through future deals with other real estate entities. Additionally, Reliant's current operations are limited to Canada. In my conversations with the company, I have broached the subject of expanding operations to the United States and have received a positive response. Once operations are well established in Canada, my conversations with Reliant lead me to believe that the company will indeed expand operations into the USA.
With a stock price of only 7 cents, RHWC currently has a market cap of only $6 million. That is downright ridiculous. In only two weeks of operations, Reliant had $7 million in mortgage applications! Without question, this stock is highly undervalued. Following the conservative valuations of its peers CFC, NEW, and LEND, RHWC could easily achieve a stock price of anywhere from $1 to $9. From its current share price, those valuations equate to gains of anywhere from 1,300% to 12,000%!
According to SEC filings, RHWC currently has 86 million shares outstanding. Of these shares, I have identified a minimum of 66 million shares held by company insiders. I estimate that an additional 5 to 10 million shares are held by other company employees or insiders that I have not been able to account for. In my estimation, there are anywhere from 10 to 15 million shares in the available public float for RHWC. In its limited trading history, the heaviest trading volume that RHWC has ever experienced in a single day is 654,000 shares. On about a dozen other occasions, RHWC has had trading volume eclipse 300,000 shares. With its limited float and a suspected large short position, any amount of substantial trading volume should send RHWC skyrocketing. Should this stock generate dollar trading volume of only $250,000 over 3.5 million shares would trade hands. Just imagine what this stock would do!
In the coming month, RHWC is expected to expand its marketing efforts to coincide with the launch of its operations in British Columbia, Saskatchewan, and Alberta. Although I have not been told this specifically, I suspect that RHWC spokesman Donovan Bailey may be involved. For those of you that don't know who Donovan Bailey is, he is to Canada what Lance Armstrong is to the USA. He is a national icon. A 5-time world an Olympic track and field champion, Donovan Bailey is a national hero in Canada and is one of the country's most recognizable sports figures. On top of this, Donovan Bailey has a background in business administration and has started his own marketing and real estate firms. The fact that Donovan Bailey agreed to be the spokesman for a company such as Reliant speaks volumes. Additional exposure for Reliant is soon to come as RHWC is prominently featured in Dan Holtzclaw's newest book The Little Black Book of Microcap Investing. Dan's last book had over 10,000 copies in print, so RHWC should receive some very nice targeted exposure to microcap investors. This book will debut next week, so Reliant could see some action from this very soon.
I don't know what we can do with this but I'll try to do more digging for current news. 140K shares depend on it. I like especially the ratio of market cap to revenues. If that is true then RHWC is truly undervalued no mater how someone sees it! I am a little worried that the last PR was in mid August. Its way too long for a company like this to keep investors in the dark. Then again I may be over reactings since news says things are happening this month. Maybe CEO is waiting till the end of the month to lay things out. We better get news by Oct 1!
Effective March 23, 2005 and prior to the approval of the Stock Exchange Agreement, the former directors of the Corporation, Alexander Stewart, Wallace Stonehouse, Kirk Boyd, Stephen Stewart and Neil Novak, resigned upon the appointment of new directors, Kevin Hamilton, Valeri Guilis, Boyd Soussana and the Honorable John Roberts. On March 24, 2005, pursuant to the Stock Exchange Agreement, The BSA Group Limited ("BSA"), in trust for the shareholders of 1604494 Ontario Inc., an Ontario private company, acquired control of the Company by acquiring from treasury 76,000,000 shares of the Company in exchange for all of the issued and outstanding shares of 1604494 Ontario Inc. The total amount of issued and outstanding shares in the Company as a result increased to 78,019,782.
Coincident with the establishment of its home warranty insurance business, the Company divested all of issued and outstanding shares, of Condor Diamond Corp., the Company's wholly-owned subsidiary, to Condor Gold Corp., in consideration of the return of any and all liabilities owing by the Company to Condor Gold Corp. During 2005 the Company changed the nature of its business and now markets to Canadian homeowners a proprietary line of non-prime home mortgage programs, designed to compliment to mortgages of residential real estate (single family homes and condominiums).
On April 21, 2005, the Company entered into a Letter of Intent with Creditorlife Inc respecting the comprehensive marketing of the Company's proprietary line of products.
On May 19, 2005, the Company announced to the public, the media and the trade the full extent of its new range of its products.
On May 21, 2005, the Company entered into a comprehensive Letter of Intent with Brit Insurance respecting the full reinsurance by Brit of the Company's range of products.
On June 20, 2005, the Company entered into a comprehensive Letter of Intent with Dundee Securities respecting Dundee's acting as the Company's fiscal advisor.
On August 26, 2005, the board of Directors of the Corporation accepted the resignation of its President and Chairman Kevin Hamilton and appointed one of its existing directors, Boyd Soussana, as its new Chairman and President.
On January 1, 2006, the board of Directors of the Corporation accepted the resignation of its Treasurer and Director, Val Guilis, and appointed Paul Burden as its Treasurer and Director.
On March 1, 2006 the Company issued 8,000,000 of its common shares to Harvey E. Moss and Leslie N. Moss in consideration of consulting services rendered by them to the Company. The 8,000,000 "unrestricted" common shares were issued pursuant to an S-8 Filing that the Company filed with the Securities and Exchange Commission.
On June 8, 2006, the Company entered into a Security and Purchase Agreement (the "Security and Purchase Agreement") with Laurus Master Fund Ltd. ("Laurus") pursuant to which the Company issued to Laurus a Secured Revolving Note (the "Note") in the aggregate principal amount of $25.0 million and a warrant to purchase up to 36,128,286 shares of the Company's common stock, par value $.001 per share ( the "Common Stock"), at a price of $.001 per share (the "Warrant").
The Company has agreed to use the proceeds of the Note solely for the purposes of funding certain mortgage loans to its customers, except for $900,000 that the Company has paid to Laurus Capital Management, LLC, the investment advisor to Laurus, and approximately $156,000 that the Company has paid to Laurus Capital Management, LLC and certain third parties as reimbursement for their due diligence and legal fees and expenses incurred in connection with the transaction.
The principal amount of the Note carries an interest rate of prime plus 2%, subject to a minimum rate of 8%. The principal amount of the Note is payable on the maturity date of June 8, 2009, and interest is payable monthly beginning on July 8, 2006. The Company may, at its option, prepay the Note by paying the holder the principal amount, all accrued and unpaid interest thereon, together with a prepayment premium ranging from 3% to 5% of the outstanding principal amount, depending on the date of the prepayment. The Note is secured by all of the Company's assets and the stock of one of the Company's subsidiaries, Reliant Home Mortgage Canada Inc.
As the Company did not have a sufficient number of authorized but unissued shares of its Common stock to issue upon the full exercise of the Warrant, it sought and obtained shareholder and State of Florida approval to a Certificate of Amendment to increase its authorized number of shares of Common Stock from 100 million shares to 200 million shares. It now has a sufficient number of authorized shares of Common Stock to issue upon exercise of the Warrant in full and for other general corporate purposes which may arise.
On June 8, 2006, the Company entered into a Registration Rights Agreement with Laurus (the "Registration Rights Agreement"). Pursuant to this Agreement the Company is presently preparing and will soon file a registration statement with the Securities and Exchange Commission for the purpose of registering for resale all of the shares of the Company's common stock issuable upon exercise of the Warrant.
RESULTS OF OPERATIONS
Results of six months ended June 30, 2006 Revenue for the 6 months ended June 30, 2006 was $0. The Company continued to develop its proprietary residential mortgage and residential mortgage insurance programs, which it launched during the second quarter of this fiscal year and as such has not generated any revenues. Operating expenses increased to $1,702,061 for the six month period ended June 30, 2006. This increase was due primarily to one time consulting and capital raising expenses.
PLAN OF OPERATIONS
The Company has changed the nature of its business and now is preparing to operate a fully integrated mortgage and mortgage insurance enterprise.
The Company used the 6 month period ending June 30, 2006 to further develop, refine and launch its' proprietary residential mortgage and mortgage insurance enterprise throughout Canada. This intensive effort together with an array of one time legal accounting, investment advisory and development costs resulted in a net loss $1,708,550 during the first 6 months of 2006.
............................... CHANGES IN SECURITIES ...........................
On March 1, 2006, the Company issued 8,000,000 of its common shares to Harvey E. Moss and Leslie N. Moss in consideration of consulting services rendered by them to the Company. The 8,000,000 "unrestricted" common shares were issued pursuant to an S-8 Filing that the Company filed with the Securities and Exchange Commission.
On June 8, 2006, the Company entered into a Security and Purchase Agreement (the "Security and Purchase Agreement") with Laurus Master Fund Ltd. ("Laurus") pursuant to which the Company issued to Laurus a Secured Revolving Note (the "Note") in the aggregate principal amount of $25.0 million and a warrant to purchase up to 36,128,286 shares of the Company's common stock, par value $.001 per share ( the "Common Stock"), at a price of $.001 per share (the "Warrant").
As the Company did not have a sufficient number of authorized but unissued shares of its Common stock to issue upon the full exercise of the Warrant, it sought and obtained shareholder and State of Florida approval to a Certificate of Amendment to increase its authorized number of shares of Common Stock from 100 million shares to 200 million shares. It now has a sufficient number of authorized shares of Common Stock to issue shares upon exercise of the Warrant in full and for other general corporate purposes which may arise.
On June 8, 2006, the Company entered into a Registration Rights Agreement with Laurus (the "Registration Rights Agreement"). Pursuant to this Agreement the Company is presently preparing and will soon file a registration statement with the Securities and Exchange Commission for the purpose of registering for resale all of the shares of the Company's common stock issuable upon exercise of the Warrant.
This horse is not even out of the gate yet let alone running the race. If there is ever a ground floor opportunity, I believe this is it. The low share trading volume reflects that. I can't believe this will stay under the radar for long, JMHO
TORONTO--(BUSINESS WIRE)--Aug. 7, 2006--Reliant Home Warranty Corporation (OTCBB: RHWC - News) President & CEO Boyd Soussana announced today that Reliant, through its Barbados subsidiary, Reliant Insurance SCC, has received conditional approval for its insurance license. Through its lawyers in Barbados, Reliant Insurance SCC received written confirmation that the Ministry of Finance in Barbados has conditionally approved its insurance licensing application.
Reliant Insurance SCC will specialize in re-insurance products designed for mortgage indemnity, builder "spec home" Mortgage Indemnity commercial protection products and New Home Warranty Latent Defect and Structural Warranty products.
"We are very happy with the Ministry's approval as this allows the organization to move forward in providing new and innovative mortgage indemnity products which we can offer to select clients," stated Mr. Steve Hamilton, President Reliant Insurance SCC.
TORONTO--(BUSINESS WIRE)--Aug. 9, 2006--Reliant Home Warranty Corporation (OTCBB:RHWC - News) President & CEO Boyd Soussana announced today that Reliant, through its Canadian subsidiary Reliant Home Mortgage Canada Inc., had nearly $7 million CDN in mortgage applications initiated by Canadian mortgage brokers. To date, over $2.5 million CDN worth of mortgages have been approved. "We have taken advantage of the traditionally slow summer months to finalize our transition to revenue generation and profitability. We are now in a position to excel during an active 3rd and 4th quarter. These quarters will see an increase in the number of brokers selling our products and loans per broker," stated Mr. Soussana.
Operations are slated to commence in the provinces of British Columbia, Saskatchewan and Alberta by September 1st.
TORONTO, Aug 16, 2006 (BUSINESS WIRE) -- Boyd Soussana, President and CEO of Reliant Home Warranty Corp. (RHWC) , announced the issuance of a letter to shareholders and nearly $10 million (CDN) in Applications:
Dear Shareholders,
Let me begin by thanking you for your continued support of Reliant. The last few weeks have been an exciting time with the long anticipated launch of our residential mortgage operations. Although the launch was limited to a select group of Reliant Mortgage Lending Partners within the Centum Financial Group, the initial response has been tremendous as nearly $10 million (CDN) worth of mortgage applications were received within the first three weeks. In the coming months, we expect this success to grow exponentially as our mortgage operations expand to a larger number of Reliant Mortgage Lending Partners in the provinces of Ontario, New Brunswick, Nova Scotia, British Columbia, Saskatchewan, and Alberta.
Through the utilization of innovative and progressive mortgage solutions, Reliant is steadfastly committed to becoming a competitive force in the Canadian and, eventually, the American mortgage markets. Additionally, as the company continues to grow, Reliant management is cognizant of the need to increase shareholder value. Without a doubt, the past few months have been a trying time for many firms in the mortgage industry, including Reliant. We feel that the recent price and market value of our stock is not representative of the enterprise value for our current and future business prospects. As such, Reliant management members will take the proactive measure of personally purchasing shares of company stock on the open market. Such a move demonstrates management's commitment and their belief that Reliant stock is currently undervalued.
We will continue to be upfront with our shareholders and provide as much information as possible in a timely manner. This has been demonstrated by our recent press releases regarding mortgage activity updates. As our business grows, we will continue keeping our investors informed and knowledgeable of company operations. We know this is not a sprint, but a marathon, and we look forward to sharing our successes with those who stay in for the long haul.
Boyd Soussana has been engaged in the insurance industry for over twenty years. He has held positions with major life insurance companies in various capacities including sales, marketing, compliance and management. Over this time he has been successful in working with the corporate agencies to design and introduce new product applications including coverage for mortgage insurance, home builder warranty and disability insurance.
In 1999 he became President and CEO of Creditorlife.com, a manufacturer of life insurance software programs providing a complete front to end underwriting platform that is interfaced with existing legacy systems used by the major life insurance companies and dealing with all mortgage brokers in Canada.
Boyd joined Reliant Home Warranty Corporation as CEO and President in August 2005. His objective is to successfully implement and promote the Reliant Home Warranty business model in a timely and efficient manner to optimize earnings and build shareholder value.
Chief Financial Officer / Director
Paul Burden has been involved in the Real Estate and Mortgage Brokerage business for over the past 12 years. Paul’s business and accounting acumen has enabled him to become very successful in improving the financial worthiness of companies and turning them into profitable and robust businesses. In 1997, he was directly responsible for the turn around of Century 21 Annapolis Valley Realty, which has now become the most successful real estate company in the Annapolis Valley.
In 1998, Paul founded Centum East Mortgage Inc. This mortgage brokerage company started brokering mortgages with only three mortgage brokerages. Today, Centum East Mortgage Inc. has grown to over thirty mortgage brokerages throughout the Maritime Provinces and is responsible for placing over one hundred million dollars in mortgage business per annum.
Paul Burden joined Reliant Home Warranty Corporation as director in April 2006. Given Paul’s Chartered Accounting designation and his experience in the Mortgage Brokerage business, he is uniquely situated to provide valuable insight, leadership and expertise into the financial direction of the company.
Director
The Honorable John Roberts P.C.
John Roberts has been an independent director of several companies, most recently Tri-vision International Ltd., a developer and manufacturer of hardware and software products for the multimedia and cable television industries. He is also a former director of the Oceanic Society of the United States, The Council of Canada, The Canadian Environmental Law Research Foundation, and The Canadian Institute of Resources Law.
Honours: The Canada Medal for Public Service, The Medal of the European Parliament for Public Service, The Medal of the Knesset, the Fathers of Confederation Memorial Medal for Services to the Arts.
John Roberts has written a book on Canadian politics, and many articles, mainly on political theory, intellectual history, environmental policy, and government. He is currently the chairman of Motion Pictures International Consulting Services Group, and also an Associate Editor of the Literary Review of Canada.
Emailed the CEO concerning PR on revenues and I got this:
Dear Claus,
thanks for the comments and concerns. As you are aware we just launched our program to a select group of mortgage brokers and are evaluating the response, systems and delivery of the product to our customers.
We have received a great amount of interest from a variety of parties(brokers) but are still in our testing phase so any further press releases would be premature. I hope you understand for this is a long term play for us.
Regards Boyd
They are careful with there financial vehicle so now while the stock is down at these levels this may be a good time to pick up some shares for a hold for 1-2 years and a VERY nice return. With 86M shares the Market Cap on this company is only 7M. Nothing when it compares to their industry!
TORONTO--(BUSINESS WIRE)--Reliant Home Warranty Corporation (OTCBB:RHWC - News) President & CEO Boyd Soussana announced today Reliant, through its Canadian subsidiary Reliant Home Mortgage Canada Inc., has received an engagement letter from a Canadian Financial Services company, who will assist us in securing an ongoing $250 Million CAD mortgage warehouse and securitization commercial paper program. "We see an obvious need for a warehouse line of this magnitude as it reflects our expanding business and it enables us to become a much more competitive player within the mortgage market. The board will review this engagement to ensure it meets our requirements prior to execution," stated Mr. Soussana.
Doubts lose ..... courage prevails. Waiting for the right moment won't come! This stock is going to to make money from those of us not use to bashing stocks. Its all in the Karma baby!
Through September, we have received requests for over $25 Million CAD in mortgage funding and have entered them into the SMART system. Total requests approved or submitted for client approval exceed $8 Million CAD and this extraordinary market acceptance has come from only a small percentage of brokers as part of a pilot program.
On October 21st we will have completed our pilot/beta program for selected Centum mortgage brokers. By the 21st we will have completed an evaluation period and focus group meetings with these same brokers in order to determine where we met their expectations or where we need improvement, be it underwriting, pricing or product structure. It is imperative that we go through this process first before our full launch. We intend to achieve all stated goals.
You should know that management has invested over $1 Million CAD in support of the working capital base of Reliant since the pilot commenced. We are committed to making Reliant a significant part of the Canadian mortgage industry. We appreciate your support as we move through this important implementation phase.
Finally, we will in a timely manner continue to update stakeholders on developments regarding our mortgage, insurance and SMART system license. We feel that the upcoming period in Reliant's journey will be both bright and prosperous.
Very Truly Yours,
Boyd Soussana
If anyone has noticed this stock is making us money. Its a good time to buy a position!
As this stock continues to move up to find its level that should find it "short term" as it approaches 1.50/shr. This is by using the Revenue based valuation calculations on the existing 275M that is available to the company to make loans against. This does not include earnings from their insurance or SMART products. The potential in this company is astounding ..... as much as the lack of public replies on this message board. I will keep posting even if alone, until someone realizes how valuable this stock really is!
TORONTO, Oct 26, 2006 (BUSINESS WIRE) -- Reliant Home Mortgage Canada recently attended the 2006 Centum Conference. This conference was attended by Reliant Home Mortgage's management team and encompassed 150 Centum Canada offices, which operates with over 1100 mortgage professionals.
President & CEO Boyd Soussana commented, "Centum Financial Group Inc. is a rapidly growing Financial Service organization, which is going to be a key partner in our success. We met with numerous brokers and found they are eager to begin selling Reliant's products. As Centum continues to grow, so will Reliant."
The number of brokers and mortgage professionals at Centum has grown by more than 30% since the beginning of this year, which strengthens Reliant's goal to meet and exceed its revenue projections.
This is significant because it seals the fate that the company will have the exposure it needs and as Centum grows so will Reliant! The company even at .26 now is still a buy when you look at companies in this industry. ST target is .60 and LT target is 2.71 - 5.00! JMHO.
I would be careful with RHWC. The company has a history of name changes and reverse splits. On the last 10Q RHWC had only $9,288 in Current Assets and $1,347,894 in Current Liabilities. The net loss for the past six months was $1,708,550. The company owes 145 times what it is capable of paying in the current year. As a result the company must continue to heavily dilute by issuing shares to survive.
1. The 10Q is old data, finances before June 30th and before all the new funding and most of the posts I have shown here. 2. The company started in march of last year, before that under a different management for a different product in a different industry so again absolete data. 3. The 1:22 spilt you may be alluding to, was at the time this particular company started in March '05 so it does not count! 4. With the influx of new revenues from existing loan vehicles (250M) they are getting now, there is no reason to suspect they will need to do any dilution or will have any noticable debt as you describe. 5. The stock price has performed admirably and anyone taking my advice is already making a great return! 6. Everything about this company is showing that they have met goals and attracted respect in the industry.
I can't find a better more promising stock in this market so you may want to reconsider your warning! I won't let doubt, loose me money by selling a stocks with this kind of info! Especially when the conflicting info is N/A!
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