FFGO, CNEX, HAXS, DKGR, CENT, CTDC
Our Stocks to Watch tomorrow include Fortress Financial Group Inc. (OTC: FFGO), Cannon Exploration Inc. (OTC: CNEX), Healthaxis Inc. (NASD: HAXS), Drake Gold Resources (OTC: DKGR), Central Garden & Pet Company (NASD: CENT and CENTA) and China Technology Development Group Corporation (NASD: CTDC).

FORTRESS FINANCIAL GROUP (OTC: FFGO)
"Up 100.00% on Thursday"
Detailed
Quote: http://www.otcpicks.com/quotes/FFGO.php
Fortress Financial Group, Inc. is primarily engaged in the issuing and marketing of prepaid debit card and related payment solution activities. It acquired Moneyworx, Inc., a reseller of MasterCard prepaid USA Domestic and International Prepaid Debit Cards. Fortress Financial Group, Inc. will be launching its own label "Fortress" International Debit Card in the second quarter of 2008. Upon the closure of the Trinity Mercantile Finance Group and the Mortgage Bank acquisitions; Fortress Financial Group, Inc. will be expediting its plans to become a broadly based Consumer Finance Group. The "Mortgage Division" will comprise the vast majority of the Group's earnings in the medium term. The Company is utilizing its substantial Balance Sheet, comprised of quoted and unquoted Gold Mining & Exploration stocks, to aggressively fund a large number of acquisitions in the consumer financial services sector, initially focused on the Mortgage Lending sector. Fortress Financial Group, Inc. (formerly Great West Gold, Inc.) was a gold mining exploration stage company, engaged in the acquisition and exploration of mining properties in the United States. The Company retained these Gold Mining Exploration interests as portfolio assets. The Company holds circa 48% of the outstanding stock in Hunt Gold Corporation as an investment. Fortress Financial Group, Inc. is at this time, contemplating increasing its stockholding in Hunt Gold Corporation, given that Company's current stock price which is trading at a substantial discount to its Net Asset Value. The Company is now exchanging its interest in the "South Copperstone," and "Bouse" Gold Mining Exploration properties for shares of Common Stock in a USA Gold Mining & Exploration Company.
FFGO News:
May 6 -
Fortress Financial Group, Inc. Provides Update on Acquisitions
Company Confirms That Planned Acquisitions to Be Considerably Larger Than Anticipated
Fortress Financial Group, Inc. (OTC: FFGO) is in a position to confirm that the Company is completing the acquisitions as previously announced but advises stockholders that the amount and the size of these acquisitions is now considerably larger than ever envisaged by the Company's Management.
The completion of these acquisitions and the exchange of the Company's holdings in the "Bouse" and "South Copperstone" Gold Projects for stock in a USA quoted Gold Mining Company will have a very material impact upon the Company's Net Asset Value per Share.
The completion of all of these acquisitions will create a very substantial Company in the Consumer Finance Industry with an extremely strong cash flow and very considerable earnings.
Stockholders will be advised upon the completion of these acquisitions.
CANNON EXPLORATION INCORPORATED (OTC: CNEX)
"Up 33.33% on Thursday"
Detailed
Quote: http://www.otcpicks.com/quotes/CNEX.php
China Shuangji Cement Corporation, through its interest in Shandong Zhaoyuan Shuangji Group, Ltd., operates in the cement industry in the People's Republic of China and internationally. It offers portland cement and other cement products, which are used in the construction of buildings, roads, and other infrastructure projects. The company, formerly known as Citisource, Inc., was founded in 1983 and is based in Kent, the People's Republic of China.
CNEX News:
May 7 -
Cannon Exploration Inc. Updates Shareholders
Cannon Exploration Inc. (OTC: CNEX), a North American mining company, announced that effective May 7th, the company's website (www.cannon-exploration.com) will be live and that an Investor Relations firm has been hired to take shareholder inquires at 1-866-365-4724.
The company plans to own several advanced mining properties in North America that will rapidly combine a balanced portfolio of exploration and development projects with the mining expertise of its technical and managerial teams to ensure future growth of the company. The result is a company with the share liquidity and market capitalization to provide value to investors. "As we move forward in considering exciting growth options for the company, I hope that in the coming months you will come to share that excitement with me as well," stated CEO Neil Sarran.
The company will be updating its shareholders with further announcements within the near future with regards to company projects and developments.
HEALTHAXIS INCORPORATED (NASD: HAXS)
"Up 59.24%
on Thursday"
Detailed
Quote: http://www.otcpicks.com/quotes/HAXS.php
Healthaxis, Inc. provides integrated solutions and services for health benefit administrators and health insurance claim processors in the United States. It offers Web-enabled systems for the administration and processing of health insurance claims, such as medical, dental, defined contribution, vision, disability, health reimbursement accounts, health spending accounts, and flexible spending accounts; and Web-enabled platforms and solutions for the enrollment, sale, distribution, and post-sale administration of insurance policies, including health, vision, and dental insurance. The company provides its services through the application of its technology on an application service provider basis. Its business process outsourcing solutions include the automated capture, imaging, storage, and retrieval of electronic claims, attachments, and related correspondence, as well as includes rules-based claims pre-adjudication and editing, and automated preferred provider organizations routing via electronic data interchange, and repricing. The company offers its software products and related business process services that are designed to assist health insurance payers, third party administrators, preferred provider organizations, and self-administered employer groups. Healthaxis, Inc. was founded in 1982 and is headquartered in Irving, Texas.
HAXS News:
May 8 -
Healthaxis Announces First Quarter 2008 Operating Results
Healthaxis Inc. (NASD: HAXS), an innovative provider of technology-enhanced, integrated business process solutions and services, including claims and benefit administration applications, web-enabled software solutions and outsourced claims related services for health benefit administrators and health insurance claims processors, reported financial results today for the three months ended March 31, 2008.
First Quarter 2008 Financial Highlights:
A) 2008 first quarter revenues were $4.0 million compared to $4.2 million in the first quarter of 2007. The lower revenue this year is almost wholly attributable to the 2007 mid-year loss of a BPO services customer who was acquired by a larger organization. Application Service Provider (“ASP”) license fees and transaction fees increased slightly from new service offerings, though in total our customers experienced a net loss in the number of lives they service. Excluding the effects of the lost BPO customer, BPO services revenue was higher than last year due largely to the addition of accounts payable outsourcing revenues that are new in 2008.
B) The Company reported a 2008 first quarter net loss of $542,000 ($0.07 per share) compared to a net loss in the first quarter of 2007 of $62,000 ($0.01 per share). The change compared to last year was negatively impacted by a $204,000 severance charge in sales and marketing. Non-cash equity compensation expense was $94,000 and $31,000 in the first quarters of 2008 and 2007, respectively. Depreciation and amortization expense was $281,000 and $276,000 for the first quarters of 2008 and 2007, respectively. These higher costs were partially offset by reduced BPO services personnel costs. Operating results this year were also negatively impacted by lower capitalized costs of $226,000 for customer implementations and software development.
Review and Outlook:
Commenting on the Company's first quarter results, President and Chief Executive Officer, John M. Carradine, said, “With respect to the first quarter results, it is important to note that the two most significant negative items are behind us. The loss of a large customer in May 2007 had a noticeable impact on our revenues, but sequential quarterly revenue since that time has been increasing. Additionally, we took a $204,000 charge for severance in the first quarter. In a short period of time, the cost savings from this action will outweigh the cost of this charge.
“Accordingly, we are focused on the future. We added two new customers in the first quarter. We have been encouraged by our work in the accounts payable outsourcing space because we see an emerging market with significant room for growth. We continue to assess opportunities to use our strengths, domain expertise, and intellectual property to their highest strategic value.”
DRAKE GOLD RESOURCES (OTC: DKGR)
"Up 32.26% on Thursday"
Detailed
Quote: http://www.otcpicks.com/quotes/DKGR.php
Drake Gold Resources, Inc. is a development stage mining company that focuses on the exploration and production of precious metals. The Company has a distribution agreement for Dove Mining Equipment which has yielded several opportunities for expansion. Announcements will be made as details are made available. For further information about Drake Gold Resources, visit the company website at www.DrakeGold.com or blog at www.drakegold.blogspot.com.
DKGR News:
May 8 -
Drake Gold Resources, Inc. Announces Joint Venture With Eagle Mining
Agreement Establishes Drake's First Permitted and Producing Project
Drake Gold Resources (OTC: DKGR) announced that Drake and Texas-based Eagle Mining have entered into a formal Joint Venture Agreement on their fully permitted and producing Abigail and Donovan projects, located in Mohave county Arizona and comprising 300 acres of two mining claims of 140 and 160 acres.
The Abigail and Donovan projects piqued Drake's interest due to the revelation of high concentrations of gold as evidenced in geological assays completed by Southern Spectrographic Laboratory, Inc.
Eagle has their own processing/smelting facilities and possess several key pieces of equipment, including, but not limited to, a reverberatory grinder, a hammermill, electronic concentrators, and multiple pieces of earth-moving equipment. Under the agreement Drake will retain 47% of the net proceeds in exchange for Drake furnishing additional dry-processing equipment and jointly covering daily operational expenses. Eagle will continue to be the operator and manager of the operation, as well as maintaining all permits and associated fees. Mining is expected to recommence by end of second quarter of 2008.
This agreement with Eagle Mining is a direct result of our distribution joint-venture with AERO Mining Technologies. Drake's relationship with AERO is generating opportunities for future turn-key, permitted projects of this nature that show compelling geological assays and are production-ready.
Drake Gold Management has prepared a full report of the Eagle Mining Joint Venture including historical data, BLM permits, equipment details, plans of expansion, etc. which is expected to be released this week.
CENTRAL GARDEN & PET COMPANY (NASD: CENT)
"Up 28.40% on Thursday"
Detailed
Quote: http://www.otcpicks.com/quotes/CENT.php
Central Garden & Pet Company operates as an innovator, marketer, and producer of branded products for the lawn and garden, and pet supplies markets. Its products are sold to specialty independent and mass retailers. The company's products include lawn and garden products comprising grass seed, including the brands Pennington and The Rebels; wild bird feed and the brands Pennington and Kaytee; weed and insect control and the brands AMDRO, Sevin, Ironite, and Over 'N Out; and decorative outdoor patio products and the brands Norcal, New England Pottery, and Matthews Four Seasons. Its pet categories include animal health and the brands Adams and Zodiac; aquatics and reptile and the brands Oceanic, Aqueon, and RZilla; bird and small animal and the brands Kaytee, Super Pet, and CritterTrail; dog and cat and the brands TFH/Nylabone, Four Paws, Pinnacle, and Avoderm; and equine and the brands Farnam, Bronco, and Super Mask. In addition, the company provides a host of other application-specific pet brands and supplies and garden products. Central Garden & Pet Company was founded in 1955 and is based in Walnut Creek, California.
CENT News:
May 7 -
Central Garden & Pet Announces Fiscal 2008 Second Quarter Results
Central Garden & Pet Company (NASD: CENT and CENTA) announced results for its fiscal second quarter ended March 29, 2008.
The Company reported net sales of $485 million in the quarter, relatively unchanged compared to $486 million in the comparable fiscal 2007 period. Income from operations was $44.7 million, a decline of three percent compared to $46.2 million in the year ago 2007 period. Net income for the quarter was $20.5 million, or $0.28 per fully diluted share compared to $21.4 million or $0.30 per fully diluted share in the year ago period. Branded products sales increased one percent to $415 million. Sales of other manufacturers’ products declined eight percent to $70 million. Depreciation and amortization was $8.1 million compared to $7.4 million in the year ago period.
Net sales for the Garden Products segment were $254 million, relatively unchanged from $256 million in the comparable fiscal 2007 period. The Garden Products operating income was $26.1 million compared to $28.8 million in the year ago period. Branded product sales increased one percent to $221 million. Sales of other manufacturers’ products declined, as planned, 12 percent to $33 million. Net sales for the Pet Products segment were $231 million, relatively unchanged from $230 million in the comparable fiscal 2007 period. Operating income for the Pet Products segment was $28.2 million compared to $29.3 million in the year ago period. Branded product sales increased one percent to $194 million. Sales of other manufacturers’ products declined three percent to $37 million.
“In the first six months of the fiscal year we have taken meaningful steps to improve margins, implement cost-reduction initiatives and reduce working capital. These actions have substantially strengthened our financial position,” noted William Brown, Chairman and Chief Executive Officer of Central Garden & Pet Company. “Our progress, however, is being impeded by rising costs, retailer inventory reductions and the continuing slowdown in the aquatics category. In spite of this, we hope to make significant progress toward getting our business “on profile” for fiscal 2009.”
For the six months ending March 29, 2008 of fiscal 2008, the Company reported net sales of $798 million relatively unchanged from $803 million in the comparable 2007 period. The operating loss for the period was $346 million compared to operating income of $52.2 million in the year ago period. The net loss for the first six month period was $269 million compared to net income of $18.5 million in the year ago period. Diluted loss per share was $3.77 compared to earnings per fully diluted share of $0.26 in the year ago period. Included in the year-to-date results is a non-cash, pre-tax charge of $400 million, or $290 million net of tax, related to goodwill impairment as prescribed by SFAS No.142 “Goodwill and Other Intangible Assets.” Adjusted net income and earnings per share, excluding the impact of the impairment, was $21.3 million, or $0.30. Branded product sales increased one percent while sales of other manufacturers’ products declined eight percent. Depreciation and amortization for the first six month period was $16.1 million compared to $14.3 million in the year ago period.
The Company will discuss its second quarter results on a conference call Wednesday, May 7, at 4:30 p.m. EST / 1:30 p.m. PST. Re-play dial-in numbers for the call will be available for three weeks at 1-888-286-8010 and passcode 7438 9337 (domestic) and 1-617-801-6888 and passcode 7438 9337 (international).
CHINA TECHNOLOGY DEVELOPMENT GROUP (NASD: CTDC)
"Up 27.74% on Thursday"
Detailed
Quote: http://www.otcpicks.com/quotes/CTDC.php
China Technology Development Group Corporation, through its subsidiaries, provides of clean and renewable energy products and solutions, focusing on solar energy business in China. The company was founded in 1995 and is based in Hong Kong, Hong Kong.
CTDC News:
May 8 -
CTDC Announces Test Completion of First SnO2 Production Line and to Operate Pilot Production in June
China Technology Development Group Corporation (NASD: CTDC) ("CTDC" or "the Company"), a provider of clean and renewable energy products and solutions focusing on solar energy business in China, announced that the engineering team of China Merchants Zhangzhou Development Zone Trenda Solar Energy Ltd. ("Trenda"), the wholly-owned subsidiary of the Company, has successfully concluded the testing of its first SnO2 production line. This line is expected to operate the pilot production of the solar base plates in June. SnO2 solar base plate is a type of transparent conductive oxide substrate of amorphous silicon (a-Si) or thin film solar cells. It is a key component of a-Si thin film PV products which optimizes the performance of Building Integrated Photovoltaics (BIPV).
The dedicated engineers from our company and our US and China partners, Terra Solar & China Solar, have been working diligently in the past several months to enhance the manufacturing techniques in order to maximize the energy efficiency as well as to minimize the production cost of the SnO2 base plate product. Commercial production is expected to ramp up to full production within 6 months.
"We are delighted to announce the test completion of the first production line and are excited about the upcoming milestones according to our expansion plan. The test completion timeline of the first production line is consistent with the Company's strategy plan announced in December of 2007. We have initiated meetings with our potential customers concerning our product availability and delivery schedule. We are confident that our final product will be well qualified and competitive to meet the increasing demands for our product in the upcoming months," commented by Alan Li, Chairman and Chief Executive Officer of the Company. |