SWKJ.OB – is no longer valid. It has changed to SBDNE.OB

[setravis]

End of day Chart.
No time to make comments.

[setravis]

Moving to the upside.....

SITEWORKS BUILD DEV (OTC BB:SWKJ.OB) Delayed quote data 

Last Trade: 0.0915
Trade Time: 2:17PM ET
Change:  0.0125 (15.82%)
Prev Close: 0.079
Open: 0.086
Bid: 0.0912 x 5000
Ask: 0.093 x 5000
1y Target Est: N/A

  Day's Range: 0.086 - 0.102
52wk Range: N/A
Volume: 5,784,621
Avg Vol (3m): N/A
Market Cap: 10.54M
P/E (ttm): N/A
EPS (ttm): -0.511
Div & Yield: N/A (N/A)

[slomo007]

Just as an FYI, this is a construction company based in Miami.  (Wilma)

Combine this with a new project on their website posted late Tuesday night which we are expecting a PR for: http://www.mysiteworks.net/projects.htm

And finally, combine this with potential Katrina contracts which are constantly being announced and will be for many more months.   


I am holding, and am not even CLOSE to my target price(s).

Also, keep in mind that Prestige is the parent company of ATCT and SWKJ.  ATCT announced today that it is going to go to the AMEX.  Does this mean SWKJ will follow?  Just another reason to buy and hold. 

[setravis]

Good looking day.....

Support @ 0.08...0.07...0.06
Resistance @ 0.10...0.12
MACD is Bullish
Stochastic is Bullish

[andyman]

Solomo

Keep in mind that Prestige is not a parent Company of SWKJ or ATCT.

To understand that relationship you have to have some experience in business legalities in Asian and Arabic/Persian region.
To operate in this countries the foreign companies need a "sponsor" (they call it sponsor, however, they often do not support you, no! , they charge you).
The intention of these countries is that local companies getting incorporated in the economical development process. But the intention fired back, in many cases, these "sponsor companies" using their legalized position to squeeze out commissions without rendering a clear value or service. Generally they are not interested in building up local expertise as the way of commission taking is much easier and hassle/risk free.

This is especially the case in the Arabic/Persian area. The central person of these "sponsor companies" often maintaining their relationship by  promising that, with their personal contacts, they will promote and enable to get the contract. For doing that they take between 20...40% commission of the whole contract value. Often a significant part goes than back in the hands of the government officials who approve the project. Some of these "sponsors" are simple parasites. However, some are solid enough to build long term business relationships. Lucky, Prestige Asia may be one of them.

American and some European companies have a little problem with this practice. But, these local sponsors do not bother at all and drop you if you do not play as they will. Only the real professional and capable ones are good enough to struck some real good professional deals. And, according to my feeling and understanding, Prestige Asia is one of them.
I have dealt with many of these "Local Sponsors". I don't know Prestige Asia, but what I have found by studying the internet, Prestige Asia has qualities.
My suspicion is that they following a strategy:

•    as all international companies who want to bid on a project tender in these countries need a "sponsor", so everyone! has a big cockroach to feed. Therefore the offered project prices will not differ too much.
•    If you (as a international company) can agree with your "sponsor company" to get paid not in % of the project volume direct rather than agreeing to obtain a significant package of your company shares, which surely will raise if they succeed to get the project award, you can bid some % less or you can keep it as profit margin or both. That gives you a competitive advantage.

Again, many of these lousy local sponsors are not interested at all in such schemes as they want cash, cash, cash. Only the real professional ones (and there are seldom) opt for that, and Prestige Asia most likely is one of them.

So, Prestige Asia is getting their commission paid through share value. But if a investor is ready, professional and capable to do that, why stopping at the initial step? Why not supporting that company to step up, get listed at XYZ increase their market presence and qualify them for even bigger projects. Why getting some % only if you can hold a significant market value.
That could be the perspective and Marshall Plan of Prestige Asia.

As you mentioned Solomo, there is a real chance that SWKJ will go on AMEX.

Think back, Prestige Asia purchased 8.5 Mio. Shares from the open market in August with permission from SWKJ in order to combat naked shorting. What makes it for sense if you do not have a clear long term vision?

This IMHO is a share to hold long.

I am holding a package since July and I was almost going to scrap them when they kept staying at ~0.02 (as I already mentioned at this board).
However, than I decided to take some more at 0.038 and now I am holding 2 Mio. Shares and do not intend to give them back soon.

andyman

[slomo007]

Solomo

Keep in mind that Prestige is not a parent Company of SWKJ or ATCT.

To understand that relationship you have to have some experience in business legalities in Asian and Arabic/Persian region.
To operate in this countries the foreign companies need a "sponsor" (they call it sponsor, however, they often do not support you, no! , they charge you).
The intention of these countries is that local companies getting incorporated in the economical development process. But the intention fired back, in many cases, these "sponsor companies" using their legalized position to squeeze out commissions without rendering a clear value or service. Generally they are not interested in building up local expertise as the way of commission taking is much easier and hassle/risk free.

This is especially the case in the Arabic/Persian area. The central person of these "sponsor companies" often maintaining their relationship by  promising that, with their personal contacts, they will promote and enable to get the contract. For doing that they take between 20...40% commission of the whole contract value. Often a significant part goes than back in the hands of the government officials who approve the project. Some of these "sponsors" are simple parasites. However, some are solid enough to build long term business relationships. Lucky, Prestige Asia may be one of them.

American and some European companies have a little problem with this practice. But, these local sponsors do not bother at all and drop you if you do not play as they will. Only the real professional and capable ones are good enough to struck some real good professional deals. And, according to my feeling and understanding, Prestige Asia is one of them.
I have dealt with many of these "Local Sponsors". I don't know Prestige Asia, but what I have found by studying the internet, Prestige Asia has qualities.
My suspicion is that they following a strategy:

•    as all international companies who want to bid on a project tender in these countries need a "sponsor", so everyone! has a big cockroach to feed. Therefore the offered project prices will not differ too much.
•    If you (as a international company) can agree with your "sponsor company" to get paid not in % of the project volume direct rather than agreeing to obtain a significant package of your company shares, which surely will raise if they succeed to get the project award, you can bid some % less or you can keep it as profit margin or both. That gives you a competitive advantage.

Again, many of these lousy local sponsors are not interested at all in such schemes as they want cash, cash, cash. Only the real professional ones (and there are seldom) opt for that, and Prestige Asia most likely is one of them.

So, Prestige Asia is getting their commission paid through share value. But if a investor is ready, professional and capable to do that, why stopping at the initial step? Why not supporting that company to step up, get listed at XYZ increase their market presence and qualify them for even bigger projects. Why getting some % only if you can hold a significant market value.
That could be the perspective and Marshall Plan of Prestige Asia.

As you mentioned Solomo, there is a real chance that SWKJ will go on AMEX.

Think back, Prestige Asia purchased 8.5 Mio. Shares from the open market in August with permission from SWKJ in order to combat naked shorting. What makes it for sense if you do not have a clear long term vision?

This IMHO is a share to hold long.

I am holding a package since July and I was almost going to scrap them when they kept staying at ~0.02 (as I already mentioned at this board).
However, than I decided to take some more at 0.038 and now I am holding 2 Mio. Shares and do not intend to give them back soon.

andyman

Thanks for the absolutely great post andyman. There is a lot of useful information for all of us to read there. I agree that I am putting my trust in PrestigeAsia and am hoping they do not turn out to be leaches. 

FYI, Suny (ATCT's chairman of the board) is in Phuket right now "securing contracts for Siteworks" according to an interview she gave on MoneyTV.  Phuket is where the pictures on the Siteworks website are found.  Therefore she is likely securing the new contract, which we will hopefully hear about soon.

I have done a LOT of DD about this company and will hopefully have the time to post all of my thoughs here sometime.  I have posted just minor parts of it, but have more to share.  However outside of SetTravis I wasn't sure if anyone was even holding it besides me on the 3SOF board.  Glad to hear that you're on board too...even though I'm sitting on a 3 bagger right now, I am not even considering selling.  I have targets set MUCH higher, and could potentially be over $1 given the right contract news.  Nothing happens overnight though, and the only way it will get there is if Prestige is telling us the truth and is not leaching off of SWKJ and ATCT.  That's the only thing that could hold us down.  Hopefully you are right and they are good for the companies overall....I think they are.

[gmarc66]

An S-8 came out at 3:11pm today...not sure if this is good or bad. Can anyone share some light on this.

There was a little rally when it came out...looked like indecision, the price started to move up then went down,then up some...i guess people didn't really look over it and decided to wait until tomorrow to give themselves a chance to read it properly.

I'm not sure which site to go to get a link showing the S-8 that came out, i can only copy and paste as microtrader doesnt allow u to use the link:

If this is good news, it would have been a good price point to pick up some shares as the price had dropped during the day to .07 low.



Below is part of the S-8, its just too long to post all of it..if anyone has the link to the S-8, please provide it so people can view it in full.

SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

   
FORM S-8/Amendment No. 2

   
AMENDED REGISTRATION STATEMENT

UNDER

THE SECURITIES ACT OF 1933

   
SiteWorks Building and Development Co.,

(
 
Employee Incentive and Consultant Compensation Plan

(Full title of plan)

 
 

(CALCULATION OF REGISTRATION FEE

Title of securities to be registered
Amount to be registered (1)
Proposed maximum Offering price per share
Proposed maximum aggregate offering price
Amount of registration fee

Common Stock (par value $.0001)
40,000,000Shares
$.08
$3,200,000
$141.24

Estimated solely for the purpose of calculating the amount of registration fee. Such estimate has been computed in accordance with Rules 457(c) and 457 (h) of the General Rules and Regulations under the Securities Act of 1993, as amended, based upon the price of the shares of $.08 based upon the closing bid price of the shares on October 16, 2005



(1)
Shares issuable under awards granted under the SiteWorks Inc 2005 Performance Incentive Plan, together with such additional and indeterminate number of shares of common stock and preferred stock purchase rights of the registrant as may become issuable as the result of stock splits, stock dividends or similar transactions affecting the common stock of the registrant.

--------------------------------------------------------------------------------
 
PART I

INFORMATION REQUIRED IN THIS SECTION 10(a) PROSPECTUS

Item 1.  Plan Information

This Amended Registration Statement on Form S-8/a provides for the issuance of a total of 75,000,000 shares of common stock, par value $.001 per share of Siteworks Inc,. ("SWKJ"), under the SiteWorks Employee Stock Incentive Plan and for various consultants the company may retain from time to time. Prior S8 filings were for a total of 35,000,000 shares.

[slomo007]

I would be interested in the S8 analysis as well if anyone has any experience with something similar to this, here are my thoughts though:

They have an "employee incentive program" account with shares they use to give to employees and to people who help the business in other ways. They're going to issue 40M new shares for this account at $.08 per share.  My question is this, who is getting the money?  I don't think SWKJ is getting the money, as who would be buying it?  They are GIVING the shares to their employees based on the filing, so therefore there is no money coming in.  So then, why do the shares of a max issuance price of .08.  I am pretty confused by this part. 

I like the idea of the employee incentive plans, but I must say that I have quite a few questions as well.  I keep going back to this though - why would they be issuing shares to the Board and to the company's employees if they didn't think the stock was underpriced?  Why would they want shares which they think might tank? 

Anyone with a little more experience feel free to chime in, especially regarding the .08 max.

[andyman]

Hi gmarc, slomo

If you look at the statement a little closer you will see:
It is for employees only and for various consultants

Issuing new shares means clear, SWKJ needs cash! However, issuing under this condition means SWKJ does care about the market impact! That's positive IMHO!

SWKJ has as a penny stock a little problem. The OTC trade is unfortunately not so transparent. As a result we are confronted with all these manipulations i.e. shorting. SWKJ as already mentioned have clear a long term vision, so they recognize this as an sensitive issue and have undertaken measures to prevent manipulation (as far as they can). One indication was the agreement with Prestige Asia where Prestige Asia buys 8.5 Mio Shares from the open market and keeps them or sells them back to SWKJ for elimination.
Issuing plain new shares would turn this undertaking into a useless act. However, SWKJ seems to need urgent cash. So therefore they decided most properly to sell the new shares only to loyal persons who believe in the long term prospective of the company and hold them in anticipation that the share price will raise with the success and do not spend them instantly in quick trade.

In fact they generate cash, motivate their staff & stabilize the company, building relationships without taking liabilities/financing charges and influencing market liquidity(as far as possible). Generally seen that's quite disciplined and therefore to be seen as a positive move.


Another point.    Issuing 40 Mio. Shares @ 0.08$ will give 3.2 Mio.$.
Just considering the news "SiteWorks Building Announces USD10,000,000 GMP Contract for Approx. 1,100 Affordable Units" form 7th October such contracts will be signed in general either with a Performance Bond and/or Advanced Payment Guarantee clause. The Performance Bond usually is something ~10% of the contract volume, whereas the Advanced Payment Guarantee has to cover the first installment (Advanced Payment). The installments in such project are bound on milestones and ranging usually between 6...10 or more, depend on the timeframe of the project.
In case of 10 Milestones that will give 10 Payments. Usually the first payments are larger due to the costs of mobilization. That makes me guessing that the first payment (Advanced Payment) could be as much as 12% to 15% of the contract value. For both the company has to produce guarantees from their bank ( 1Mio. Performance Bond and 1.2 Mio. Advanced payment Guarantee -> ~2.2Mio.$) so they have to deposit this amount in the bank.
Of course, SWKJ should never bid for the job if they do not have this liquidity, however, I feel they have a quite solid approach and make things sure that they do not run out of cash.   

As next the client (Thai Government) have to produce in the time after contract signature a letter of credit facility from their bank. That usually takes two to three weeks when government departments are involved. If I see the news from 7th October and now we have 26th October, that's quite good in time.

My conclusion: its not only paper and talk anymore, the projects getting real! And it seems in time! And that's positive!

Regards, Andyman

[gmarc66]

Thanks for your indepth review and comments Andyman!

Your explanations are very insightful and helped me get a better picture of what is going on here. I need all the help I can get! 

thanks very much and good luck on your trades.

I will be watching swkj.

julia

[slomo007]

Thank you andyman.  Everything you said makes a lot of sense.  I will continue holding.  IMO the market is reacting incorrectly to this news, a market correction should be soon to follow.

[andyman]

Hi slomo,

Have seen you at a other SWKJ board where they beating you, however I feel to like to give you some support.

Since the shares are for specific purpose they will not be available at the market soon. OK, 8K's (which the MM's like to sell in to) have a full impact if the shares are given at a block away for a job (like barter) and the receiver is free to do what ever he want (i.e. selling). However that is not the case here.

There is no single share out now. It is something like a reservation.

Consider, SWKJ will have to send some staff (Americans) out to Thailand to monitor/manage the job. Sending people abroad is not a cheap undertaking. You have to pay a extra batch of allowances.
Furthermore, the project is in Asia! We do not need to talk about the remuneration there. Nurse need at least a (loyal) American management there in order to have control over his job. Maybe he heed to have some American engineers supervisors, so that the technology works. These guys you have to pay them as Americans, and not as Asians! However if you do not find a way to lower the costs you will not get the project in this environment. Nobody in Thailand has a understanding for you that American Engineers are more expensive than any other. So, best price/value(service) ratio counts, and that is everywhere in the world. That's the reason that many American and European companies paying their expat. employees bonuses in shares and not in cash.
So, how does it work in his case. Simple, SWKJ is generating x shares via 8k and pays them from his own account and that for 0.08$ each. That's a 0-sum game and that's the reason that Nurse states cost of this transaction in the 8k. When the time comes, in the middle of the next year or end of the next year, when he has to pay the bonuses, he can calculate the bonus/current share price at the (hopefully) elevated level. For example if he has to pay his guys 10000$ bonus at that time when (just imaginable) the share is 0.24$, the bonus would cost SWKJ only 3333$.

The interesting thing is, the costs of generating this shares will be this year, so he can offset some profits from current operation with these costs and minimize income tax exact in the moment when his business is expanding. So, next year, when his project is running he is saving admin expenses (costs for bonus, salaries) and that will positively reflect on his income statement. Or strait forward a certain part of the next year bonus of his guys will be leveraged paid by this years income tax savings. 
That is something very normal. And I am waiting for the next years 10k's.
           
Another point. Nurse has enough other jobs to do as to care about the daily happenings to his penny share. His job is to set the things right and make correct decisions for a successful medium-long term future. This is his responsibility!
And there is it sometimes as a proverb says: short term pain for long term gain.

Regards, Andyman

[slomo007]

Another terrific post andyman.  Thank you a bunch.  The main reason I "gave up" on Raging Bull is because the bashers were endless.  I will still post there most definitely, just decided to give it a rest for the day.  It's funny when you ask them questions, then they don't answer them, and instead focus on the word of the day - dilution. 

Thanks again for your informative posts....I guess the only solution is to hold long term.  I may try to scrape up some money to buy more at these levels.

[cgill]

http://biz.yahoo.com/iw/051027/099368.html

[slomo007]

Per today's PR, it looks like you were right on with your analysis andyman.  Thanks for the insight.  Now get ready to enjoy the ride up.  We just went from having $10M in contracts to having $25.  Logically one could expect about a 150% jump if the market viewed it as being priced accurately before (which I don't think it was - I think it was already underpriced due to the mis-reaction to the s-8).