Labels: Nighthawk, Nighthawk Systems, Nighthawk Systems Inc., NIHK, NIHK.ob, OTCBB: NIHK

International calls from your mobile phone just got a lot cheaper. At least that is if you choose to subscribe to the new Packet8 MobileTalk mobile VoIP service.

Labels: 8X8 Inc., Mobile VoIP, Packet 8, Packet 8 Mobile Talk, VoIP, VoIP provider

I hope everyone had a nice Thanksgiving! Now that we are all back to work after a good long turkey coma, we thought we would start the week off with coverage on one of our long term, pressure cookers.

And it looks like there is a very bright future in store for Union Dental Holdings Inc. (OTCBB: UDHI). After turning a third quarter profit and growing revenues by nearly 22% during the first nine months of the year, UDHI has kicked things up a notch with its most recent move.

UDHI Designs Its System

Union Dental announced today that they have entered into a purchase agreement to acquire a 7,000 sq ft dental building in Charlotte, NC. Representing the dawn of what could be a new era of growth for the company, UDHI plans to use the facility to house its newly acquired Jakubek Dental subsidiary. The new building will be the "cookie cutter" model for Union Dental's future expansion and will allow the company to generate revenue from a few new streams.

By owning and operating dental practices, UDHI is able to cash in on its proven ability to produce dental prosthetics 20%-30% cheaper than the competitors. Ownership also provides access to a wider pool of sales opportunities than what was previously available when the company functioned simply as a middleman between practices and labor unions. In addition to prosthetic sales, UDHI can now generate revenues from actual dental procedures which we all know can cost a pretty penny.

Calling All Unions
Now leveraging its exclusive contract with the Association of Flight Attendants - Communications Workers of America (AFA-CWA) and using Charlotte as its springboard, UDHI aspires to take a multi-pronged approach to becoming the premium provider of dental coverage to America's labor union workers.

Following the precedent set by the newly acquired Charlotte facility, Union Dental has stated plans to establish additional practices in areas heavily trafficked by labor union members (prong 1). The company will also continue to sell rights to areas of exclusivity to leading dental practices in regions where a physical presence is not yet sustainable (prong 2).

Strategy Ensures Growth

This approach to expansion makes the most sense for UDHI going forward. The way that I see it, the company can now "test the waters" by offering areas of exclusivity to practices in key markets.

For example, UDHI could sell rights to a practice in Los Angeles, monitor and evaluate its performance over a period of time, and then decide whether or not to acquire it or another facility in the area and establish their own practice. This eliminates a lot of guess work and ensures that UDHI follows the most profitable path to growth. A+ to management on their strategic mission!

As I've mentioned in previous editions, UDHI's CWA relationship holds enough potential in itself to propel the company to new heights. Exhibiting UDHI's extensive growth potential, a corporate profile issued by the company in September of 2006, states "Assuming Union Dental achieved 25% adoption among CWA members alone and that each union worker has three additional covered family members, UDHI would coordinate more than $1.1 billion in dental services each year".

Contrary to company progress, UDHI shares are trading at close to a 500% discount from one year ago. The company is exponentially more established now that it was a year ago and more properly positioned for future growth. Even looking through the string of press releases and earning report since 11/27/06 - which is a must for all with their eyes on this company- one has to wonder why UDHI still trades as the bargain basement price of under a penny.

Labels: OTCBB: UDHI, UDHI, UDHI.ob, Union Dental Holdings, Union Dental Holdings Inc.

Bio Solutions Manufacturing Inc. (OTCBB: BSLM) continues to minimize its risk towards investors and position itself at the forefront of bio-fuel development.

Labels: B100, Bio Solutions Manufacturing Inc. (OTCBB: BSLM)

Union Dental Holdings Inc. (OTCBB: UDHI) announced today that they have entered into a purchase agreement to acquire Jakubek Dental in Charlotte, NC. This comes as a very pleasant surprise for us after the company hit a rough patch a few months back in its drive to buy out Bellflower Dental in Southern California.

This deal just makes sense on so many levels. For starters, UHDI holds an exclusive contract with the Association of Flight Attendants - Communications Workers of America (AFA-CWA). The union represents employees of airlines ranging from US Airways to Alaska Airlines and Charlotte NC is a mega hub for many popular airlines.

While UDHI has expanded its network of affiliated dentists that pay the company annual fees for access to areas of exclusivity to more than 1,800, the company should be able to improve an already solid profit and revenue situation by establishing their own dental practices in key strategic areas.

Saving Money for Union Workers!

From what I've seen, the typical Porcelain-fused-to-metal dental crowns ranges in price from roughly $600 to $900. With the proven ability to manufacture crowns and bridges about 20% - 30% cheaper than anybody out there, UDHI should be able to improve on its already solid revenue and profit situation by producing them in-house at multiple locations throughout the country.

Since union workers typically receive only $1,500 in annual allowable dental expenditures - a 30% discount pretty much brings any worker in one of UDHI's coverage areas through the door. How about that for a competitive differentiator for the company and a value-prop in new markets. In my opinion, if UDHI can pull off a few of these and run them efficiently, the sky is the limit for the company.

A Word from UDHI's CEO on the Announcement

Speaking on today's news, Dr. Green, President and CEO of Union Dental, commented:

'We have tremendous support from the labor unions and UDHI wants to capitalize on its 20 year relationship with these unions of providing quality dentistry to CWA members. I have personally met with the presidents of the local chapters of these unions and have their complete support in an effort to establish a premier dental facility to service the needs of these loyal union members. This new facility will be state-of-the-art in dental delivery with plenty of room for future expansion. The practice is currently profitable, low sale priced, and the addition of this new business clientele will make success a virtual certainty. I plan on interviewing doctors for associate positions next month as well as supportive staff."

With their trademark DineWise® brand experiencing record growth in each of its first nine quarters of existence, DineWise Inc. (OTCBB: DWIS) continues to establish itself as America’s leading in-home dining solution provider.

Third quarter financials were stellar once again for DWIS. Aside from DineWise® branded products growing 272% for the first 9 months of 2007, the offering also exhibited its ability to facilitate an improved bottom line as the company’s overall net loss improved to ($572K) from ($2,846).

Whether you look at it from a 9 or 3- month perspective, DineWise is making significant improvements, both in regards to financials as well as avenues not directly reflected in the filings. For example, in addition to facilitating an improved gross profit as a percent of revenue figure of 51.4% from 48.7% for the first 9 months of 2007, the DineWise® brand recently attracted Mastercard’s attention and lead to the development of a strategic relationship.

Now partnered with "The Best Way to Pay for Everything That Matters ®", DWIS has access to $1.4 trillion more in annual spending power than it did just a short while ago. With a selection of 5,000, gourmet quality, chef-prepared, custom, dining solutions, DineWise Inc. is quickly establishing itself as a household name with America’s:

Low-Carbohydrate Dieters - estimated 10% of U.S. on "low-carb" diets;

Labels: Dinewise, DineWise Inc., DWIS, DWIS.ob, OTCBB: DWIS

There is a definitive point in the life of a public company when it officially earns its stripes as a strong contender in the small cap market. That day is today for Union Dental Holdings Inc. (OTCBB: UDHI) because this is the day they announced to their shareholders - and the market at large - that they are officially profitable.

Savvy investors know that "being profitable" is often just a matter of managing debt. Even established companies (such as. . . say the majority of the airline industry!) are not profitable. But for public companies trudging through the murky waters of small cap infancy, being profitable is one of the best indicators to investors that management is on track for the bigger picture.

What A Difference a Year Makes

Management announced in today's press release that third quarter earnings are in and UDHI has a whopping profit of nearly $39K! Now while this is probably not enough to buy a mobile home in Tornado Alley, it IS a vast improvement over the loss of $680,477 logged during Q3 '06. In addition, revenues are up nearly 22% for the first nine months of the year in comparison to 2006. Even if the company had a profit of $1.00, we would still be optimistic because being profitable means they have worked to ground zero - which is no easy feat for most small caps.

Unfortunately, UDHI's thriving bottom line has not had a great deal of affect on it's stock price. Many of you have likely ducked for cover as the company's shares have depreciated over the past 12 months. But hopefully this news is just what investors need to see to put their money back on the table. UDHI has, now more than ever, the makings of a successful company and consequently a successful investment - even if the market disagrees right now.

If Union Dental is new to your playlist, here are the cliffnotes on it. UDHI has been making dental coverage more affordable for America's labor work force which now totals more than 15 million members. Currently boasting a network of more than 1,800 dental practitioners across the U.S. and a customer base possessing nearly $200,000,000 in annual purchasing power, UDHI's labor union clientele is highlighted by such sizable organizations as:

- Communications Workers of America (CWA) - (700,000 members);
- International Brotherhood of Electrical Workers - (IBEW) - (750,000 members);
- United Association of Plumbers and Pipe Fitters (UA) - (300,000 members); and
- Association of Flight Attendants - Communications Workers of America (AFA-CWA) - (55,000 members).

A Business Model For Growth

UDHI's strategy of charging affiliated dentists an annual management fee of up to $6,000 per office for the rights to "areas of exclusivity" (based on patient population density) has proven to be quite effective. If the company can generate just $3,000 per provider, its current base of 1,800 would generate $5.4 million in revenues during 2008. For those that are counting, that equates to nearly 64% more than revenues logged thus far during 2007.

With approximately 200,000 practicing dentists and 15.4 million union workers in the United States, many with multiple dependents, UDHI is blessed with a seemingly never ending supply of potential customers and knows exactly how to bring them in. This is very positive for the future as the company looks to further grow its network.

Penny stocks are largely traded for their range of movement. The chance of a $100 dollar stock doubling in a week is pretty rare. But a penny stock doubling in a week is not only possible - it is common. So as UDHI is growing fundamentally on the inside, it is incredibly possible that it will reward investors exponentially on the outside. After all, it only has to go up a penny to give investors 100% return.

Labels: UDHI, UDHI.ob, Union Dental Holdings, Union Dental Holdings Inc.

The International Energy Agency’s latest World Energy Outlook reveals that coal’s share in global commercial energy is forecast to rise from 25 per cent to 28 per cent between 2005 and 2030, because of its role in power generation. China and India already account for 45 per cent of world coal use and drive over four-fifths of the increase under the “reference scenario”.

Labels: Coal

I've always been a firm believer that it will be the larger Telcos (see AT&T and Verizon) that cash in on VoIP and the next generation of communications while the cable companies, once thought to be the cash cow in terms of VoIP, will see their US customer bases decline and don't profit to any great extent from the technology.

It appears that another factor aside from the telcos huge international networks and ability to leverage VoIP into their network backbones to reduce transmission costs and improve profits.

I read an article this morning on http://www.bloggingstocks.com/ entitled "FCC may take away many cable company benefits". The piece voices the opinion that cable companies may indeed have their best days behind them. Check it out. This is especially worth a read for investors looking to cash in on the VoIP craze, but unsure of who will profit in the long run.

http://mot.bloggingstocks.com/2007/11/12/fcc-may-take-away-many-cable-company-benefits/

According to the article:

"A section of the 1984 Cable Act says that when cable systems with 36 or more channels are available to 70% of households in the U.S. and 70% of those households subscribe to them, the commission may 'promulgate any additional rules necessary to promote diversity of information sources.

That may mean that the commission could force cable to offer smaller channels carriage on their systems at lower rates. And, it could cause the government to block acquisitions by the larger cable companies to keep them from becoming more dominant.

Cable will, of course, will fight any assault in Congress and the courts, if necessary. The FCC is likely to get some concessions out of cable, if it does not get its way outright. Add that to the assault by big telephone companies and cable stocks may have seen their best days."

Labels: Cable Companies, Telcos, VoIP

The world need energy and despite its reputation as not being the greenest fuel, coal remains an essential energy source across the globe. In fact, German utility company RWE recently forecasted that world energy trade could grow 25% by 2010 if surging Asian demand continues. With world demand ramping up and oil prices skyrocketing, the need for capable domestic suppliers has never be so large.

Invest In Your Energy Wisely

Now, we are always on the lookout for an alternative energy company with the makings of an industry changer but the fact is, coal still dominates the energy industry and will continue to for a good many years. Any investor worth his salt cannot ignore the fact that oil companies are some of the bigger moneymakers in a trader's portfolio. So while we continue to put our faith in the fact that alternative energy is on its way up, we definitely want to trade the major players on the way.

Disclaimer aside, one speculative domestic coal play that we've stumbled upon recently is Quest Minerals & Mining Corp. (OTCBB: QMMC). Based in Kentucky, QMMC owns and pursues coal-related properties in the Southeast region of the country. The company has just recently initiated mining operations. Hence the .0028 share price.

Hot Off The Presses

Labels: Coal, QMMC, Quest Minerals and Mining Corp

Interested to know what will happen with your Commerce Planet investment?

Labels: Commerce Planet, Commerce Planet Inc., CPNE

With unconfirmed reports that rapper and CEO of Def Jam Jay-Z will leave his current label with lady friend Beyonce and start a super label with Apple Inc. (NASDAQ: AAPL), could the company be positioning itself at the forefront of music's next generation?

Labels: American Gangster, Apple, Jay-Z

After settling with Sprint/Nextel and Verizon Communications, Vonage Holdings Corporation Inc. (NYSE: VG) announced today that they have entered into discussions with AT&T to settle as well.

Labels: Legal Settlement, Vonage

Despite his statement this morning that business growth will likely slow in the months ahead, Federal Reserve Chairman Ben Bernanke also provided a glimmer of hope for the U.S. economy.

In case you missed it, Bernanke commented that the Fed believes that our economy should "rebound from current problems by the second half of 2008".

This somewhat positive sentiment, coupled with Bernanke's statement that he and his colleagues are putting together a proposal that will create a new set of regulations for those issuing mortgages and sub-prime loans to those with less than stellar credit histories, provides hope that a prolonged recession is not upon us.

http://biz.yahoo.com/ap/071108/bernanke_economy.html

Labels: Bernanke, Federal Reserve, SubPrime

A Network World article from yesterday entitled "VoIP apps branching out, panelists say" drills home the opinion that next-generation applications that combine data and voice will bring the technology's true value to consumer and enterprise users:

http://www.computerworld.com/action/article.do?command=viewArticleBasic&taxonomyName=voip&articleId=9045679&taxonomyId=81

Labels: VoIP

I came across an article from DailyIPTV.com today that I felt was worthwhile of sharing with everyone.

Labels: IPTV

Up over 9% today on volume exceeding 174,0000 shares traded - SuperClick Inc. (OTCBB: SPCK) continues to expand its footprint within the global hospitality marketplace. Completing 21 installations and adding 5,ooo new rooms to their call center during the third quarter, SPCK is becoming quite an attractive buy-out target in our opinion.

Labels: SPCK, Superclick, SuperClick Inc. (OTCBB:SPCK)

Investing is a game of prediction. In every age, there exist mad scientists working away at a revolutionary products that the public may or may not run with.

Case in point: the Beta Max was a craze that many thought would change the way the world watched movies but alas to some mad scientist's dismay, it petered out without a fight. On the other hand, the DVD did change the way we watched movies and so much more. What defines a flop and more importantly how do you spot it ahead of time? Smart long term investing boils down to three things: spotting a trend worth investing in, analyzing the companies worth investing in within that trend, and then ultimately the trend actually taking off.

With On World Inc. estimating that the number of VoIP users worldwide will balloon from 16 million to 207 million between 2006 and 20011 - when In-Stat forecasts the market to be worth $44 billion - players of all shapes, sizes and colors are foaming at the mouth to tap into telecom's hottest segment.

And there's more than enough to go around. With TeleGeography Research estimating that international VoIP traffic grew by nearly 40% in 2006 to account for more than 20% of the world's total; and some analysts hypothesizing that VoIP will indeed replace traditional telephone service for the majority of users in the not-so-distant future; opportunities to cash in on the VoIP craze are popping up in every corner of the globe.

However, despite the grandiose sales wins to be made with VoIP, the market remains one of the most fragmented known to man. Although this portion of the telecom industry will likely consolidate over time much like they way the broader market has; for now, everybody and their brother is trying to make a buck off of VoIP. In addition to traditional VoIP plays such as Vonage (NYSE: VG) and Skype - an eBay company - (NASDAQ: EBAY), everybody from traditional telecoms and cable service providers such as AT&T (NYSE: T) and Time Warner (NYSE: TWX) to alternative service providers including Level 3 Communications (NASDAQ: LVLT), Ibasis Inc. (NASDAQ:IBAS), ATSI Communications Inc. (OTCBB: ATSX), and Rapid Link Inc. (OTCBB: RPID) are gunning for sales dollars.

Different Geographies = Different Market Dynamics

The domestic and international markets are characterized by a set of distinctly different dynamics. VoIP has become more of a "value play" in the U.S. and in other economically developed regions as consumers adopt the technology due to the availability of new value-added services and features (web-based software, instant messaging, mobile communications, etc.) that provide a higher level of functionality and efficiency over traditional telephony.

On the other hand, in less-advanced markets including the recently de-monopolized Latin America region where governments such as Mexico and Brazil have loosened their grip on telecom; VoIP is being implemented at a record clip, largely due to its ability to facilitate enormous cost savings on long-distance conversations. In my opinion, we're moving slowly but surely towards flat rate calling, or heck, even free calling, once advertising gets thrown into the mix in an efficient manner as it has online. Due to this possibility, providers should likely start optimizing their offerings now before it's too late, especially those relying heavily on the wholesale process to keep the lights on.

Collusion, Collaboration Paramount for Smaller Industry Players

So, with the domestic market completely saturated on a competitive level for all intents and purposes, focus is shifting elsewhere. And rightfully so - with In-stat forecasting the consumer market to reach $44 billion in 2011, when the U.S. accounts for a mere 18% of the total why not go where the growth is? But how does a small fish in the big global telecom pond survive, or better yet protect margins and maximize revenues with all of this competitive pressure? I believe that answer lies in consolidation, collaboration, and collusion amongst players of all sizes.
Now That's What I'm Talking About!

A perfect example of what I'm talking about is the recent decision by Rapid Link Inc. (OTCBB: RPID) to acquire Web-Breeze Networks, LLC, and Communications Advantage, LLC. See Press Release

Although the International space remains a game of arbitrage, with wholesalers cashing in on their ability to provide the cheapest per-minute rates possible, eventually markets in developing nations will mature and demand a greater level of functionality and robustness out of their VoIP providers. As such, industry players such as RPID must fortify and diversify their offerings to make them more appealing to consumers on a global level. How else can they compete with the budgets and the brains of the Verizon's and AT&T's of the world?

By executing this most recent acquisition, Rapid Link gains a vast array of new capabilities and value-added services including, but not limited to: Worldwide Web-hosting Service, Full Service Web- based Email Services, nationwide Dial-up Internet access, national IP Voice Messaging and Fax Messaging service and over 800 long-distance customers using One Plus dialing, Nationwide 800, and Travel Card services with customers in every state. With names like Verizon, Qwest, Sprint and Time Warner playing in their own backyard, this purchase was a very slick move on behalf of management. It may not revolutionize the company, but it sure is a good start.

Moreover, this addition should strengthen the company's global footprint as it significantly enhances Rapid Link's offering and makes it more attractive to a wider consumer audience. Although the aforementioned ongoing VoIP industry arbitrage should continue for awhile, particularly in regions outside of the U.S., wholesalers are seeing margins erode quickly as the average price per minute of voice- traffic falls by the wayside.

Providers Can't Win on Cost Alone!

Successful wholesalers such as ATSI Communications Inc. (OTCBB: ATSX) - a company that has grown revenues from $1.3 million to $30 million between FY2004 and FY2007 - are now faced with the option of either tacking on extra capabilities and value-added services to their current offerings through any means necessary, or going head to head with the world on cost alone, a seemingly impossible battle to win.

For the record, ATSI has logged 12 consecutive quarters of record revenues, 5 consecutive quarters of positive cash flow from operations and 3 consecutive quarters of net positive earnings per share. Management has a deep understanding of the market, especially the Latin American region, and holds a unique long-distance concession license with the Mexican government (Mexico is the number one producer of voice-traffic with the U.S.).

In my opinion, if you combine this thriving wholesale biz with an innovative service offering, Voila! We're looking at an International VoIP powerhouse. From there, opportunities with upper tier players become more achievable as the company is able to offer something more than simply cheap minutes. From what I'm seeing, growth through acquisition and/or partnership is the most logical way from companies like ATSX and RPID to take their businesses to the next level and keep them there.

With the VoIP industry on the verge of tremendous growth in regards to subscribers, revenues, and potential technology applications, those willing to "play ball" with others in the industry possessing synergistic and/or complementary offerings will be the one's that thrive, while others close their doors for good. This is just some food for thought on the appetizing trend of VoIP. There is so much out there and this is the time to do your homework on it!

Labels: ATSI Communications Inc., IBASIS, Level 3, Time Warner, Verizon