The Micro Cap Opportunity

04/02/2008
The MCO Daily - Before the Bell for Thursday, April 3rd, 2008

On the Radar: HWBI, HYPF, CGFI, GRMU, VSCI, CPST

This morning's top Micro Cap trading ideas include Hot Web, Inc. (OTCPK: HWBI), Hypower Fuel, Inc. (OTCPK: HYPF), Colorado Goldfields, Inc. (OTCBB: CGFI), GREM USA (OTCBB: GRMU), Vision Sciences, Inc. (NASD: VSCI), Capstone Turbine Corp. (NASD: CPST).

Featured Pick

HOT WEB, INC. (OTCPK: HWBI)
Down 16.67% Yesterday

Detailed Quote: http://finance.yahoo.com/q?s=HWBI.PK

Hot Web, Inc. is engaged in the business of consigning "big ticket" transportation related items through its diversified presences, both online and offline. The Company's mission is to "change the way the world buys and/or bids online" by harnessing the power of the Internet and coupling it with human interaction and expertise to create a safe, productive, comfortable and 'Fraud Free' way to conduct online/offline commerce. The company utilizes both its internal certified regional representative base in addition to online third-party marketing tools like eBay Motors and others to attract and market vehicle listings.
The Company's current portfolio of niche-focused online businesses consists of www.hotautoweb.com, www.hotboatweb.com, www.hotcycleweb.com, www.hotrvweb.com and www.hotplaneweb.com. The company is also currently developing other Hot Web branded online business units to complement its current roster.

Recent HWBI News:

April 2nd, 2008 - Hot Web, Inc. Announces Completion of Significant Share Reacquisition

Hot Web, Inc. (PINKSHEETS: HWBI) announced today that, in conjunction with the Company's recently completed and announced capital restructuring, the Board of Directors reached agreement with five of its larger shareholders in mid-January 2008 to reacquire 12,500,000 shares of the company's freely tradable common stock. This action reduced the Company's total outstanding shares by approximately 2.5% to 454,887,086 shares and reduced the estimated outstanding float -- or shares in the DTC system -- by approximately 6.1%, to 191,592,711. All of these reacquired shares have already been returned to the stock transfer agent for retirement.
George Stevens, Chairman of Hot Web, Inc., commented, "I thought it was important to highlight concurrent share reduction initiatives that were instituted alongside our milestone capital restructuring announced last week. By returning over 12 million shares of stock to our Treasury, Hot Web shareholders realized increased intrinsic value for those shares held in the public marketplace. This major change in our capital structure, in conjunction with several significant pending announcements, represents genuine progress in our efforts to finally begin rewarding our loyal and patient investor base."

HYPOWER FUEL, INC. (OTCPK:HYPF)
Up 14.29% Yesterday

Detailed Quote: http://finance.yahoo.com/q?s=HYPF.PK

HyPower Fuel, Inc. is a category leading company in the energy technology sector, focusing on providing innovative, clean alternative energies through unique methods. Currently HyPower has hydrogen insertion and production technologies and biodiesel production technologies in development and/or in the product commercialization stage. For more information please visit: www.hypowerfuel.com

Recent HYPF News:

April 2nd, 2008 - HyPower Fuel Announces Meetings with Alberta Government to Apply for and Receive Part of $239 Million in Funding

HyPower Fuel Inc. (Pinksheets: HYPF) is pleased to announce that over the past few weeks they have had a number of meetings and calls with Officials from the Department of Energy and the Department of the Environment for the Government of Alberta.
Mr. Douglas Bender, President of HyPower Fuel Inc., reports that "we were pleased the Government of Alberta has taken an interest in our unique, ultra-green alternative fuel technologies. In particular, Alberta Energy has suggested that HyPower submit a grant application under its Biorefining Commercialization and Market Development Program and the Bio-energy Infrastructure Development Program. Both of these grant programs are part of the Alberta government's $239 million Nine-Point Bio-energy Plan designed to encourage the growth of a clean, renewable fuel industry in Alberta."
Doug Bender went on to say that "we will submit an application to take advantage of these innovative and forward looking funding programs to assist us in the advancement and commercialization of our unique, ultra-green biofuel processes. We believe that the representatives from Alberta Energy were impressed by HyPower's leading edge technologies and have been very supportive of our efforts to ensure that our technologies become market ready in the near future. Of course, this is something that HyPower is looking forward to as it will be great to have two separate and substantial revenue streams from our two exciting alternative fuel technologies, hydrogen and biofuels."

COLORADO GOLDFIELDS, INC. (OTCBB: CGFI)
Up 17.31% Yesterday

Detailed Quote: http://finance.yahoo.com/q?s=CGFI.OB

Continuing the legacy of the historic Colorado gold rush, Colorado Goldfields Inc. is a new player in the exploration world, focused on a major gold project in the legendary Silverton Mining District. The Company has the option to earn an 80% interest in three extremely promising gold mining properties, featuring advanced, formerly producing mines: the Gold King, Mayflower and Mogul mines located in San Juan County in Southwest Colorado.
The location of one of the greatest gold rushes in North America, Colorado is now the site of increasing gold exploration, where millions of ounces of gold have been mined since 1859. The source of this gold is currently being explored and developed by industry leaders using state-of-the-art geologic science and mining expertise to locate new sources of gold and continue the tradition of gold mining in Colorado.

Recent CGFI News:

April 2nd, 2008 - Resumed Drilling Program is Part of Colorado Goldfields' Growth Plan

Colorado Goldfields Inc. (OTCBB:CGFI) analyst report discusses how the recently resumed drilling program is part of the company's growth plan.
Colorado Goldfields is a junior gold acquisition and exploration company, and holds an option to acquire up to an 80% undivided interest in certain properties located in San Juan County, Colorado. These properties consist of 44 patented and 13 unpatented mining claims in the Gold King and Mogul Mine properties, and a 70% undivided interest in 19 patented mining claims in the Mayflower Mine
REPORT LINK
IPOdesktop research report
http://www.gaskinsco.com/linkto-cgfi.shtml

GREM USA. (OTCBB: GRMU)
Up 26.92% Yesterday

Detailed Quote: http://finance.yahoo.com/q?s=GRMU.OB

GREM USA is a publicly traded company focusing on design and manufacturing of custom hand-crafted and electric guitars. For more information, visit our website at http://gremusa.com/.

Recent GRMU News:

April 2nd, 2008 - Premier Guitar Representatives to Spend Additional Day at GREM Production Facility and Expand Feature Story

GREM USA (OTCBB: GRMU) ("GREM," "the Company"), an emerging leader in the design and manufacturing of custom hand-crafted and electric guitars, today announced that on April 1, 2008, GREM management hosted Premier Guitar Magazine ("Premier") representatives at its Fort Wayne, Indiana production facility in an enthusiastic and overwhelmingly positive initial meeting to discuss the Company's line of guitars, production methods, and the Company vision. The Company is pleased to note that Premier staff, having first-hand familiarity of the Company's designs and production capability, has asked to spend an additional day at the GREM facility to expand their future feature story on the Company in Premier's popular online and print magazine.
President of GREM USA, Edward Miers, commented, "These are people who have a true passion for music. They live and breathe music. We know they've reviewed and worked with hundreds of other instruments over the years, and we're elated they've taken the time to evaluate our guitars. As a small company, we've worked very hard to achieve the kind of quality we're proud to put our name on, and we're humbled by the praise we've received from Premier thus far."
Brett Petrusek of Premier Guitar Magazine added, "We recognize the quality and effort inherent in the build and performance of GREM guitars, and we're always excited to watch the evolution of the instrument and the industry. We've always supported independent and custom manufacturers who produce finely crafted instruments of their choice. We're intrigued by GREM's entry into producing high-end guitars, and believe they're making a serious effort to be a contender in this space."
The Company anticipates that the industry exposure generated through Premier Guitar should help broadly increase the Company's brand awareness and will be a valuable resource in solidifying GREM's reputation for producing some of the most coveted guitars available on the market today.
About Premier Guitar
Premier Guitar is a monthly publication that is dedicated to the "relentless pursuit of tone" and is edited for serious and accomplished players. The magazine provides gearheads with the resources to help them evolve into better artists and, ultimately, to develop and improve their tone. The magazine, published by Gearhead Communications, is based in Cedar Rapids and Fort Dodge, Iowa. The Company's online portal, http://www.premierguitar.com serves its online visitors that read, and in some cases, print that month's entire issue of Premier Guitar via its unique page turning software.

VISION SCIENCES, INC. (NASD: VSCI)
Up 7.36% Yesterday

Detailed Quote: http://finance.yahoo.com/q?s=VSCI

Vision-Sciences, Inc. (Nasdaq: VSCI) develops, manufactures and markets unique flexible endoscopic products for the urology, gastroenterology and the ENT markets, utilizing the proprietary sterile disposable EndoSheath(R) Technology. This technology provides quick and efficient equipment turnover, and ensures the patient a contaminant-free endoscope insertion.

Recent VSCI News:

April 2nd, 2008 - Vision-Sciences, Inc. Introduces New Video-Based Advanced Cystoscope and EndoSheath(R) technology to Enthusiastic International Urology Market

Vision-Sciences, Inc. (Nasdaq: VSCI) announced the international introduction of its video cystoscopy platform at the 23rd Annual European Association of Urology (EAU) conference in conjunction with the 9th International Meeting of Urological Nurses (EAUN) in Milan, Italy. Over 12,000 participants attended this congress, the largest in Europe and the second largest in the world.
Vision-Sciences' new cystoscope platform, unveiled at the Milan Congress, will offer Europeans a state-of-the-art video cystoscopy system that employs Vision-Sciences' proprietary EndoSheath(R) technology.
"We are pleased to be able to introduce our ground-breaking video system to the European and international community," stated Mr. Ron Hadani, CEO of Vision-Sciences. "The robust reception of our advanced endoscopy technology at this conference is truly exciting. Clinicians attending the conference gave us high praises for our new platform, noting in particular how our high quality scope imaging, combined with the enabling EndoSheath(R) technology offers the physician, the nurse and the patient unparalleled excellence in healthcare."
The Vision Sciences(R) CST-5000 Flexible Cystoscope is the first urology endoscope in the Company's new series of uniquely advanced digital endoscopy platforms. The lightweight videoscope design facilitates diagnostic and therapeutic procedures using the world's smallest diameter insertion tube. The insertion tube contains a high resolution, tiny CCD (charge coupled device) camera at the tip, offering a sharp, high-definition, vibrant, full screen image.
Unlike endoscopes from other manufacturers, Vision-Sciences' new advanced video cystoscope does not contain difficult-to-clean operating channels. Instead, the CST-5000 Cystoscope utilizes the company's patented, disposable, sterile Slide-On(R) EndoSheath(R) technology that covers the entire endoscope. Each disposable sheath contains a sterile operative channel, which eliminates patient tissue or organic matter from coming into contact with the reusable endoscope or the next patient.
Professor Frans M.J. Debruyne, M.D., PhD, eminent Professor of Urology and previous Secretary-General of the EAU, gave a presentation during the EAUN workshop titled: "A Safer, More Efficient Cystoscopy." Professor Debruyne explained to the audience that he was not a Vision-Sciences employee or stockholder, and then stated: "I feel comfortable in predicting that "EndoSheath(R) Video Cystoscopy will change the face of urology." He noted that after seeing the superior quality image available with the new flexible cystoscopy system, that he ordered three complete systems for his clinical practice.
Ms. Patricia Slappendel from Arnhem, Netherlands, a leading nurse practitioner and board member of the EAUN, also conducted a workshop on the practical implementation of EndoSheath(R) Cystoscopy to the urology nurses attending.
Mr. Carlos Babini, Executive Vice President of Vision-Sciences added, "The enthusiastic response to our technology is driven not just by high quality image and instrumentation. The preeminent safety benefits for urologic nurses and patients available with EndoSheath(R) Cystoscopy simply towers above any conventional option. EndoSheath(R) technology offers a unique alternative for nurses in urology who have to handle toxic chemicals on a regular basis for traditional endoscope cleaning." The EndoSheath(R) technology eliminates the need for elaborate high-level disinfection between each patient, permitting rapid equipment turnover. This limits capital investment for additional endoscope inventory, reduces exposure to toxic chemicals, and dramatically lowers repair and maintenance costs. Mr. Babini also stated, "The time needed to prepare our cystoscopes for the next patient is less than 5 minutes, which is a safe, cost effective and compelling enhancement to practice-efficiency."
The Company has also successfully completed viral microorganism "barrier testing" in accordance with FDA guidance for the videoscope EndoSheath(R) technology, proving that the EndoSheath(R) barrier is effective to microorganisms as small as 27 nanometers - the FDA benchmark. All other dangerous microorganisms such as the AIDS virus (80-120 nanometers), Hepatitis-C (30-60 nanometers) or Herpes Simplex Virus (150-200 nanometers) are significantly larger.
Vision-Sciences has successfully performed barrier testing on its complete line of EndoSheath(R) products, and remains focused on delivering the best in endoscopy infection control, specifically designed for a demanding health care environment.
Vision-Sciences has applied for CE Marking to market its new cystoscopy system in Europe, and anticipates approval shortly.
The European Association of Urology represents more than 16,000 urology professionals across Europe and worldwide. Its defining mission is to raise the level of urological care in Europe. More information regarding the association can be found at http://www.uroweb.org.
 
CAPSTONE TURBINE CORP. (NASD: CPST)
Up 3.48% Yesterday

Detailed Quote: http://finance.yahoo.com/q?s=CPST

Capstone Turbine Corporation (www.microturbine.com) (NASDAQ:CPST) is the world's leading producer of low-emission microturbine systems, and was the first to market commercially viable microturbine energy products. Capstone Turbine has shipped over 4,000 Capstone MicroTurbine(R) systems to customers worldwide. These award-winning systems have logged millions of documented runtime operating hours. Capstone Turbine is a member of the U.S. Environmental Protection Agency's Combined Heat and Power Partnership, which is committed to improving the efficiency of the nation's energy infrastructure and reducing emissions of pollutants and greenhouse gases. A UL-Certified ISO 9001:2000 certified company; Capstone Turbine is headquartered in the Los Angeles area with sales and/or service centers in New York, Mexico City, Milan, Bath, Shanghai and Tokyo.
"Capstone Turbine Corporation" and "Capstone MicroTurbine" are registered trademarks of Capstone Turbine Corporation. All other trademarks mentioned are the property of their respective owners.

Recent CPST News:

April 2nd, 2008 - Capstone Receives HEV Bus Order for $5 Million from DesignLine International

Capstone Turbine Corporation (www.microturbine.com) (NASDAQ:CPST), the world's leading clean technology manufacturer of microturbine energy systems, today announced that it received a 150 unit order for C30 Capstone MicroTurbines(R) to be deployed in ECOSaver IV hybrid electric buses manufactured by DesignLine International. This is the largest order to date for Capstone products in a Hybrid Electric Vehicle (HEV) application.
Headquartered in Charlotte, North Carolina, with manufacturing facilities in Charlotte and Ashburton, New Zealand, DesignLine was established in 1985 and produces high quality coaches, buses and specialty vehicles for the worldwide market with particular focus on its industry leading ECOSaver IV hybrid vehicle.
"This substantial order from our partner, DesignLine International, calls for shipments through June 2009 to their new plant in North Carolina," said Jim Crouse, Capstone's Executive Vice President of Sales and Marketing. "One of DesignLine's business goals is to work closely with its customers and encourage public transportation as an attractive option to private vehicles. Thus, the vehicles designed and built by DesignLine feature wide entry doors, super low floors, and spacious and comfortable interiors," added Crouse.
"We are very pleased with the success DesignLine has had in deploying our microturbines in their buses for a number of years. Hybrid electric buses, built by DesignLine and equipped with Capstone microturbines, have been operating in various parts of the world for approximately 10 years. In recent product demonstrations the ECOSaver IV hybrid buses when equipped with our turbine have seen up to a 100% improvement in fuel economy over a traditional diesel bus which equates to fuel savings of up to 6,000 gallons per year according to DesignLine," said Darren Jamison, President and Chief Executive Officer of Capstone Turbine Corporation. "In addition, as responsible members of the world community, DesignLine takes environmental preservation seriously. Therefore, they have been designing and manufacturing their buses for maximum fuel efficiency and the lowest possible emissions to make every effort to protect the environment including aluminum floors to remove the structurally weaker and environmentally harmful marine grade plywood," added Jamison.
"The foundation of our company's success is based on our innovative designs, cost competitiveness and the high quality of our products. Our vehicles are constructed with advanced extruded aluminum technology making them lightweight and very strong. The end result is the most fuel efficient vehicle available," said Brad C. Glosson, Chief Executive Officer of DesignLine International. "A new day has dawned on the transit industry where the status quo is no longer acceptable and we, as a global community, must respond to the demand for the most fuel efficient, lowest emission and most reliable transit solutions possible. The ECOSaver IV hybrids provide unparalleled performance in all of these key areas. To achieve the goal of being the most environmentally-friendly hybrid available, DesignLine searches tirelessly for partners like Capstone. We employ the Capstone microturbine because we are impressed with the overall performance, the incredible reduction in the carbon footprint, reliable products and innovative solutions. We look forward to expanding further our successful relationship with Capstone," added Glosson.
Capstone MicroTurbines(R) are the only turbine systems being sold in volume on urban transit vehicles. Three primary attributes make Capstone-energized systems almost maintenance-free:
    --  A Single Moving Part - A single turbine/compressor shaft with
        integrated generator.

    --  Patented Air Bearings - The single moving part rides on a
        cushion of air. Consequently, Capstone MicroTurbines(R) never
        need oil or lubrication maintenance.

    --  Air Cooled - No radiator, water pump, thermostat, hoses, belts
        or external accessories.
DesignLine's ECOSaver IV hybrid electric buses feature innovative styling, exceptional ride quality with improved gas mileage and lower emissions. During zero emission mode the noise level is near zero and with the Capstone unit running the noise level is approximately 75% lower than a traditional diesel bus. DesignLine calculates a 40% reduction in overall lifecycle cost compared to a traditional diesel bus.

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