3SOF

CNCN has a market cap of just $5.08M.

Now watch this:

CinTel Corp. Expects $12M-$14M in Contract Value to Be Signed in 2005

«Considering that CinTel showed only $1.5 million in revenues all of 2004, it may be considered not a great year for revenues. However, CinTel cautiously estimates that it will enter into contracts for supply of approximately $12 to $15 million worth of products just in this last quarter of 2005. Of this amount, CinTel will be able to recognize approximately $8 million in revenues in the fourth quarter of this year alone.»

They can be liars, but if you read the entire press release, it doesn't look so. I see buy the rumor until the news is out. The trend on the chart below is very bullish. It is worth buying 10% of the 3 Pennies on Fire Portfolio in CNCN.OB.

I said:

QuoteI see buy the rumor until the news is out.

The news is not out yet, so I'll continue holding this penny stock. The plan is to sell the news.

David:

CNCN.OB continues falling like a rock, but it is  shown as an open trade in 3POF
also without actualization since Nov 2. Do you still recommed to keep this stock???l

jorgegr

David, I 'm a new member.
Can you give me some advice on DNAG , it's moving fast with big volume .
Is't time to buy now and hold it by the end of the year?
Thanks

Quote from: jorgegr on November 04, 2005, 02:29:27 PM
David:

CNCN.OB continues falling like a rock, but it is  shown as an open trade in 3POF
also without actualization since Nov 2. Do you still recommend to keep this stock???l

jorgegr

Yes, I do. If I don't previously say sell, and send a newsletter saying it, I never do.

Have you been receiving the 3 Stocks on Fire newsletter?

Thinking of CNCN.OB, the stock is reacting badly to a long term resistance on the chart below. But my plan is to wait for the news and sell only then, since those, if materialized, will be massive news for this very small company.

The news I'm talking about is this: CinTel Corp. Expects $12M-$14M in Contract Value to Be Signed in 2005

The company now has a market cap of just $3.66M, so you bet these are relevant news. The resistance took the stock down, but I'm expecting DNDN.OB to break the resistance at $0.17 when the news hits the wires.

Quote from: cc1120 on November 04, 2005, 03:07:49 PM
David, I 'm a new member.
Can you give me some advice on DNAG , it's moving fast with big volume .
Is't time to buy now and hold it by the end of the year?
Thanks

I don't have enough information to judge now cc1120, but the chart looks awesome  I'll take a note here and consider it before Monday's open.

Good luck !

I sold out of this postion as i had bought in earlier and had made a decent profit.

But, am wonder if now would be a good time to re-enter at this price or will it go lower first?
David, do u still have the same sentiments towards CNCN and anticipate another move forward soon?
thanks very much

julia

Quote from: gmarc66 on November 07, 2005, 09:53:10 PM
I sold out of this postion as i had bought in earlier and had made a decent profit.

But, am wonder if now would be a good time to re-enter at this price or will it go lower first?
David, do u still have the same sentiments towards CNCN and anticipate another move forward soon?
thanks very much

julia

Yes, same sentiment. News not out yet, and they're going to be huge news. The most interesting part will be to see if the contract signed until the ned of the year will be a one time show or something more recurring.

Anyway, this penny stock is way undervalued and I'll continue holding it for the foreseeable future.

 

Form 10QSB for CINTEL CORP

21-Nov-2005

Quarterly Report

Item 2. Management's Discussion and Analysis or Plan of Operation.

Forward-Looking Statements

The information in this report contains forward-looking statements. All statements other than statements of historical fact made in this report are forward looking. In particular, the statements herein regarding industry prospects and future results of operations or financial position are forward-looking statements. Forward-looking statements reflect management's current expectations and are inherently uncertain. Our actual results may differ significantly from management's expectations.

The following discussion and analysis should be read in conjunction with the financial statements included herewith. This discussion should not be construed to imply that the results discussed herein will necessarily continue into the future, or that any conclusion reached herein will necessarily be indicative of actual operating results in the future. Such discussion represents only the best present assessment of our management.

Results of Operations for nine months ended September 30, 2005 compared to nine months ended September 30, 2004

-------------------------------------------------------------------
                                    9/30/2005            9/30/2004
-------------------------------------------------------------------
Revenue                             1,250,913            1,368,190
-------------------------------------------------------------------
Cost of sales                       1,003,650            1,176,961
-------------------------------------------------------------------
Gross Profit                          247,263              191,229
-------------------------------------------------------------------
Expenses                            1,515,133            1,108,999
-------------------------------------------------------------------
Operating (Loss)                   (1,267,870)            (917,770)
-------------------------------------------------------------------
Loss Before Income Taxes           (1,469,817)          (1,018,278)
-------------------------------------------------------------------


The main economic factors for the decrease of 8.6 % in revenue for the first nine months of 2005 compared to the previous year can be attributed to the slow economic condition in Korea and the temporary delay of some projects until the following quarter. The economic climate is turning positive and we expect this issue to disappear by the next quarter. In the upcoming quarter, the company expects significant new revenues due to factors such as a new strategic alliance with companies such as Hyundai HDS and is continuing to capitalize on past opportunities. The company will increase the reach with current trusted customers and partners with our expanded revenue generating product lines.

A 14.7% decrease in costs compared to last year can be attributed to higher profit margins on products sold. For example, the profit margin of merchandise in Q3, 2005 was 2.3%, but that margin in Q3, 2005 was 12.9%. Second, the gross profit margin of finished products in 2004 was 25.9%, but in 2005 it was 35.6%. Our contract with the Korea Museum Project with KT (Korea Telecom) is a direct example of 12.9 % increase in merchandise. Although the total dollar amount on finished goods was down the cost of sale was more than proportionately reduced and thus resulted in these increased margins.

One large factor in our increase in cost of overseas operations was a result of travel expenses to markets such as China, Australia and the United States. Another cost increase is directly related with an increase in expenses to build alliances and research of potential new markets that will help to build our bonds with large customers and corporate alliances. The results of this contribution should be clear by the end of this year.

Management believes the ITM market continues to expand globally soon. Although the company's financial performance is down compared to last year largely due to a lack of diversification in its products and markets, the company can expect to show additional revenue and profits in near future with the strong relationships it has with its enterprise level customers. In accordance with the directive of the board of directors, management will use the balance of fiscal year 2005 to expand its products and markets. In its core market, Korea, CinTel will better leverage its alliance with Hyundai HDS and expand the solution portfolio from the single ITM solutions to include more enterprise IT solutions, including security products with HDS. We believe this partnership with HDS will continue to enable growth for CinTel in the current IT environment. CinTel is taking steps to establish several business partnerships in the U.S. Additionally, CinTel will study other markets to enter where we can leverage our distribution channels and product strengths.

- 19 -

Operations for the next twelve months

Our financial plan for the next twelve months depends on important assumptions, most of which are shown in the following table. The key underlying assumptions are:

o We assume a slow-growth economy without major recession.

o We assume there are no unexpected discoveries in technology to make our products immediately obsolete.

o We expect the global IT spending environment to remain flat to slightly above this year's levels.

o Nature and Limitation of Projections -This financial projection is based on sales volume at the levels described in the revenue section and presents, to the best of management's knowledge and belief, the company's expected assets, liabilities, capital, revenues, and expenses. The projections reflect management's judgment of the expected conditions and its expected course of action, given the assumptions.

o Revenues - The Company's revenues are derived primarily from the sale of IT solutions to enterprise customers. Revenue projections are based on the 2005 sales in the comparable market nationwide, based on industry average. The exact numbers can be found in the Sales Forecast table and chart section.

o Expenses - The Company's expenses are primarily those of salaries, sales commissions, development costs, operating costs, and administrative costs. Other expenses are based on management's estimates and industry averages.

Trends

The ITM market is currently undergoing rapid transformation from a pure caching appliance environment to a convergence of more enterprise network traffic and application management features such as SSL VPN, Application Acceleration (Web-enabled), WAN optimization, Firewall and Content Security. CinTel must incorporate these functionalities into its current product line to better compete in the marketplace.

Wireless ISP market access penetration is rapidly increasing in North America as wireless and Broadband technologies are being deployed. As the standards are agreed upon, and as the new business models begin to surface broadband access penetration will become ubiquitous and will open up new business opportunities for companies like CinTel and others in this space.

Income/loss elements not a part of regular business operations

Although in the normal course of business there will always be a percentage of receivables that will go uncollected, a significant amount was written off the books this fiscal year. This was due to the downturn in Korea's IT climate that began a few years ago, and these companies were never able to recover from that, and management has conceded and recognized the fact. This is not a symptom of poor vendor qualification.

Liquidity

Although results of this fiscal quarter did not yield a profit, we believe this was due to our concentration of risk on a small number of customers for the majority of our revenues, and not due to any specific weakness in our business opportunity overall in a broader marketplace. Therefore we do not believe reducing expenses to achieve profitability in one single year will help to grow the business in the long run for our shareholders. We anticipate increasing our expenditure to capture market share in the areas we have outlined above will result in a solid base for future growth and profitability.

CinTel Corp. Receives Approximately $2.1 Million in Convertible Notes
Tuesday November 22, 10:45 am ET


LOUISVILLE, KY--(MARKET WIRE)--Nov 22, 2005 -- CinTel Corp. ("CinTel") (OTC BB:CNCN.OB - News), a leader of Internet traffic management solutions, today announced that on November 17, 2005 it received approximately $2.1 million in an investment from a group of supportive investors in the form of convertible notes, convertible to the common stock of the company at $0.14 a share, more than 20% premium to the closing price of the stock of $0.115 on that day. (Please refer to the related 8-K filed on November 21, 2005). Although the convertible notes will be convertible into approximately 15 million shares, CinTel hopes to translate this private investment to help with more invigorated marketing and sales result in 2006.
While CinTel is leveraging its network solution and product/marketing alliance with Hyundai HDS for greater sales and is solidifying its position as a leading network solution company, CinTel will be able to capitalize on a wider range of new business opportunities thanks to this increased capital base. "We are very pleased that so many investors have shown interest in investing in CinTel. We were over-subscribed for this round of convertible notes by several times, but we only received the amount of money that we need," said Sang-Don Kim, President and CEO of the Company. "CinTel will use the proceeds from the convertible notes sales to pay down high-interest debt and to provide sufficient funds for a variety of new high ROI projects. In my view, this funding was more than just simple value-investment by investors; rather, it was enabled by investors who firmly believe that CinTel's future is extremely bright, that it can deliver on its publicly stated goal of realizing $12 to $14 million of revenues in the last quarter of this year and that CinTel's future lies beyond the OTCBB market. The management team feels a greater degree of responsibility to all of our shareholders and will focus more on maximizing shareholder value," he added.

So, isn't this good news?

confused...im wondering if i should be buying CNCN at this price .11 or .12...but not much reaction from the news?

Can someone please enlighten me on wethere this is good or bad news.


thank you!

julia

Hello,

Sold CNCN.OB @ $0.13
(Please read David's last article: «Current General Market Overview» for details)

best regards !

Is this the news u've been waiting for?

2005-11-30 11:18:15 
CinTel Corp. Expands Business Area to Encompass Online Game Server Solutions 


LOUISVILLE, KY -- (MARKET WIRE) -- 11/30/05 -- CinTel Corp. ("CinTel") (OTC BB: CNCN), a
leader of Internet traffic management solutions, today announced it has
applied for a patent in Korea ('Proxy system for online game server
systems,' Patent Application Number 10-2005-0113944) related to enhancing
the user capacity of online game server and that it will forage into the
game server market based on this competitive advantage. Leveraging its
expertise in real-time processing of massive network traffic and
multi-terabyte data management accumulated while developing products such
as iCache (caching solution), PacketCruz iLog (data management and analysis
solution) and load balancer (web-server load balancing solution), CinTel is
developing a proxy engine for online games and has filed for the above
patent. Online gaming market has grown annually more than 20% in the last
several years and is showing particularly strong growth in Asian countries
such as China, Japan, Taiwan and Thailand, and especially in Korea.





The patent application submitted today by CinTel will dramatically improve
the performance of online game server systems and allow significantly
larger number of simultaneous users and is quite suitable for MMORPG
(Massively
Multi-player Online Role Playing Game). Until now, the success of some
popular MMORPG games was constrained by the limitations of their servers
which restricted the total number of simultaneous users. In particular,
Korea is the undisputed leader in MMORPG, and Korean MMORPG games are the
top hits in those Asian countries. In keeping with this trend toward
MMORPG, major game studios are presenting new MMORPG titles. The most well
known MMORPG success story is probably the 'World of Warcraft' by Blizzard.
As CinTel's prospective patent is expected to dramatically improve the
performance and capacity of the online game servers, CinTel is looking to
develop strategic alliances or relationships with leading online game
companies either through licensing of the patent or sales and supply of the
proxy servers that embed such new technology.



Mr. Sang-Don Kim, the CEO and President of CinTel, says, "Going forward, a
large part of our strategy is to leverage our technology and
know-how garnered from developing products in the internet traffic
management market and to apply them to different business areas. Proxy
servers for online games represent our first such attempt at diversifying
our product mix outside of our core area of business. I am hopeful that
all of the blood, sweat and toil over the last eight years will bear fruit
in the form of a diversified product mix and sales in new business areas.
We will focus and expand on business areas where the need for processing
massive network traffic is the most acute. Aside from proxy servers for
online games, CinTel will soon be able to identify and announce other new
application areas where CinTel's current technology and know-how may be
leveraged into."

out too early...
CinTel Corp. Expands Business Area to Encompass Online Game Server Solutions
Wednesday November 30, 11:18 am ET


LOUISVILLE, KY--(MARKET WIRE)--Nov 30, 2005 -- CinTel Corp. ("CinTel") (OTC BB:CNCN.OB - News), a leader of Internet traffic management solutions, today announced it has applied for a patent in Korea ('Proxy system for online game server systems,' Patent Application Number 10-2005-0113944) related to enhancing the user capacity of online game server and that it will forage into the game server market based on this competitive advantage. Leveraging its expertise in real-time processing of massive network traffic and multi-terabyte data management accumulated while developing products such as iCache (caching solution), PacketCruz iLog (data management and analysis solution) and load balancer (web-server load balancing solution), CinTel is developing a proxy engine for online games and has filed for the above patent. Online gaming market has grown annually more than 20% in the last several years and is showing particularly strong growth in Asian countries such as China, Japan, Taiwan and Thailand, and especially in Korea.
ADVERTISEMENT


The patent application submitted today by CinTel will dramatically improve the performance of online game server systems and allow significantly larger number of simultaneous users and is quite suitable for MMORPG (Massively Multi-player Online Role Playing Game). Until now, the success of some popular MMORPG games was constrained by the limitations of their servers which restricted the total number of simultaneous users. In particular, Korea is the undisputed leader in MMORPG, and Korean MMORPG games are the top hits in those Asian countries. In keeping with this trend toward MMORPG, major game studios are presenting new MMORPG titles. The most well known MMORPG success story is probably the 'World of Warcraft' by Blizzard. As CinTel's prospective patent is expected to dramatically improve the performance and capacity of the online game servers, CinTel is looking to develop strategic alliances or relationships with leading online game companies either through licensing of the patent or sales and supply of the proxy servers that embed such new technology.

Mr. Sang-Don Kim, the CEO and President of CinTel, says, "Going forward, a large part of our strategy is to leverage our technology and know-how garnered from developing products in the internet traffic management market and to apply them to different business areas. Proxy servers for online games represent our first such attempt at diversifying our product mix outside of our core area of business. I am hopeful that all of the blood, sweat and toil over the last eight years will bear fruit in the form of a diversified product mix and sales in new business areas. We will focus and expand on business areas where the need for processing massive network traffic is the most acute. Aside from proxy servers for online games, CinTel will soon be able to identify and announce other new application areas where CinTel's current technology and know-how may be leveraged into."

http://biz.yahoo.com/iw/051130/0102667.html