The Micro Cap Opportunity

04/22/2008
The MCO Daily - Before the Bell for Wednesday, April 23rd, 2008

On the Radar: HWBI, BIHC, DMDD, JAVO, AIRN, LOCM

This morning's top Micro Cap trading ideas include, Hot Web, Inc. (OTCPK: HWBI), BIH Corp. (OTCPK: BIHC), Diamond Discoveries International Corp. (OTCBB: DMDD), Javo Beverage Co., Inc. (OTCBB: JAVO), Airspan Networks, Inc. (NASD: AIRN), Local.com Corp. (NASD: LOCM).

Featured Pick
HOT WEB, INC. (OTCPK: HWBI)

Up 0.00% 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; 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 22, 2008 - Hot Web, Inc. Announces $300,000 Record Sale of 1948 Buick Roadmaster

Hot Web, Inc. (Pink Sheets:HWBI) today announced the completed record sale of a 1948 Buick Roadmaster convertible "custom," named "Lowla" to an undisclosed buyer based in the United Arab Emirates capital city of Abu Dhabi. The $300,000 paid for the one-of-a-kind automobile built by Startup, Washington-based Divers Street Rods, is believed to be the highest amount ever paid for the particular make and model. Hot Web shareholders can view detailed pictures of the World Record holding "Lowla" at the following Internet address: http://www.hotautoweb.com/48buickrm.html

A world renowned builder of custom automobiles, Diver's Street Rods currently has two additional automobiles being listed by HotAutoWeb, a 1940 Pontiac named "1-Wicked-1" which can be viewed at www.hotautoweb.com/40pontw.html and a 1937 Ford Minotti which can be viewed at www.hotautoweb.com/37fordmin.html.

George Stevens, Chairman of Hot Web, Inc, commented, "Naturally we are pleased with the fact that we could represent the seller of such a world class automobile and secure the seller a record setting purchase price. We continue to attract many high dollar value and award winning cars as reflection of our reputation in the automotive community and interaction with high end automotive owners. We have had several contacts from other participating award winning or "contender" vehicles wanting us to sell their cars." He continued, "We continue to see interest in "big ticket" hot rods, American Muscle Cars and Classic Cars from international clients due in large part to a weak U.S. Dollar relative to other world currencies and a love for classic American cars on an international level."

BIH CORP. (OTCPK: BIHC)

Up 36.67% Yesterday

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

Baron International is now a 100% wholly owned subsidiary of BIH Corporation, and we will maintain this pace with any other acquisitions.

Recent BIHC News:

April 22, 2008 - BIH Corporation Closes Acquisition of Baron International, a Major Restaurant Contractor & Equipment Supplier

BIH Corporation (PINKSHEETS: BIHC) just announced that after tedious negotiations it has just agreed to expend several million dollars to complete its acquisition of Baron International Inc.

Baron International, based in West Orange, New Jersey, established in 1982 is a nationally recognized leader in the sales, service and design/build of restaurants, beverage systems, refrigeration and full turn key operations for major nationally recognized chains/clients as well as the independent client.

Mr. Robert Ingala Founder, President & CEO will remain with the company in his current position. Mr. Ingala stated that he is very excited about the prospects of the acquisition based upon BIH Corporation's resources and our nationally known client base and experience/longevity in the industry. "This acquisition will create a tremendous opportunity for phenomenal growth," Mr. Ingala stated.

This is the first of many acquisitions slated for BIH Corporation in 2008. The company currently is involved in several ongoing negotiations for further acquisitions this year.

"We are pleased that Baron International is now a 100% wholly owned subsidiary of BIH Corporation, and we will maintain this pace with any other acquisitions going forward," said Cris Galo, President & CEO of BIH Corporation.

DIAMOND DISCOVERIES INTERNATIONAL CORP. (OTCBB: DMDD)

Up 20.00% Yesterday

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

Diamond Discoveries International Corp. is a U.S. exploration company with executive offices in New York, NY and Toronto, Ontario. Since inception through it's wholly owned subsidiary Diamond Discoveries (Canada) Inc. it is focused on diamonds, precious and base metal exploration in the province of Quebec.

Recent DMDD News:

April 22, 2008 - Diamond Discoveries Acquires Quebec Property with Platinum-Palladium-Rhodium Potential

Diamond Discoveries International Corp. (OTCBB:DMDD) is pleased to announce that they have entered into an agreement to acquire a 100% interest in at least 57 mining claims (covering over 2000 hectares) in the Thetford Mines area of Southern Quebec, from Bertrand Brassard P.Geo., M.Sc. and Michel G. Lavoie, Prospector.

The rocks of the Thetford Mines Ophiolite Complex represent a historic chrome resource. Chromite (Cr) deposits were exploited intensely during both world wars, when European, African and Asiatic supplies of this strategic metal were cut off. Several million tons of historical resources are still available for mining. Recently, some of these rocks have been explored for their platinum group element (PGE) potential. Amseco Exploration Ltd. confirmed March 8th/08 the presence of substantial PGE mineralization associated with chromite layers in pyroxenite unit. Early 2008 field exploration undertook a detailed sampling of the showing from which results are pending. Two grab samples from the chromite mineralization of the same showing gave high PGE values. The results from ALS Chemex Laboratories for grab sample SC-1 graded 15.93 g/t Pt + Pd. The same sample indicates high rhodium value of 457 ppb.

The property acquired by DMDD, which surrounds Amseco's discovery and two other major chromite deposits, is characterized by several chromite deposits (historical resource) and showings. PGE's are also reported in different locations but yet to be confirmed through an exploration campaign. The company will be receiving a technical report (43-101) within the next few weeks and, based on that report's recommendations, plans to start an exploration program early this summer.

Referred to as the "noble metals" in the periodic table of elements due to their rarity and unique properties, PGE's are extremely efficient and durable. In addition to jewelry, PGE's are at the centre of technological and environmental advances in the fields of autocatalysts, power generation, alternative fuel sources (fuel cells), transportation, electronics and healthcare. The largest PGE deposits are found primarily in South Africa and Russia, while North America accounts for a lesser proportion of PGE output.

Mr. Bertrand Brassard, P.Geo., M.Sc., Technical Advisor, a Qualified Person as defined by National Instrument 43-101, supervised the preparation of the technical information in this news release.

JAVO BEVERAGE CO., INC. (OTCBB: JAVO)

Up 14.58% Yesterday

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

Based in Vista, California, Javo(R) Beverage Company (OTC Bulletin Board: JAVO) is an innovator and leader in the manufacture of coffee and tea-based dispensed beverages, drink mixes and flavor systems. The company has successfully commercialized a proprietary brewing technology that yields fresh brewed coffees and teas that are flavorful, concentrated and stable, with broad applications in the food service, food manufacturing and beverage industries. For food service operators, Javo makes it possible to serve great tasting hot coffees and cold specialty coffee beverages from convenient dispenser-based systems. Javo also assists food and beverage processors seeking authentic and robust coffee and tea flavors through its development and supply of customized ingredients for packaged foods and ready-to-drink beverages. The company supplies a growing list of national and international food service operations, specialty coffee retailers, restaurant chains and food manufacturers. For information about Javo Beverage Company, please visit www.javobeverage.com.

Recent JAVO News:      

April 22, 2008 - Javo Beverage Company Announces 2,096 New Beverage Dispenser Placements in First Quarter of 2008

Javo(R) Beverage Company, Inc. (OTC BB: JAVO), a leading provider of premium dispensable coffee and tea-based beverages to the food service industry, announced today that it deployed 2,096 new beverage dispensing locations in first quarter 2008. Javo placed equipment in every region of the country and brought its total installed customer base to 6,401 dispensers, an increase of 4,524 since March 31, 2007.

Cody C. Ashwell, Chairman and CEO of Javo, said, "We made significant investments over the past year preparing our selling and service force to win business and earn the loyalty of the highest profile beverage customers in the nation. As a result, we exceeded our expectations for first quarter placements. Our first quarter performance raises our comfort level with our stated goal of reaching 7,500 to 10,000 total installed dispensers by the end of the year, and furthermore achieving 8,800 placements by mid-year."

Ashwell concluded, "Javo recognizes $3,000 and $6,000 of annual revenue after the equipment installation has occurred and we begin the supply of concentrated hot or iced coffee to our food service customers. These two thousand new installations will result in the addition of $8 to $10 million in recurring revenue from our installed customer base. Reaching 10,000 dispenser placements translates to an annual revenue run rate of $40 to $50 million."

Gary Lillian, President of Javo Beverage said, "There was a great deal of balance in dispenser placements across our group of national account customers, including: 7-Eleven, Sunoco, Exxon-Mobil, BP Products (am pm stores), Premier Healthcare, Department of Veterans Affairs, Compass Group and MedAssets Supply Chain Systems. Since each of these customers has thousands of remaining locations that would benefit by converting to Javo's premium on-demand coffee service, we remain confident achieving our growth objective for the year."

The management of Javo Beverage will host a conference call on Thursday, April 24, 2008 at 11:00 a.m. EDT to discuss the company's financial results and achievements. Those who wish to participate in the conference call may telephone (888) 335-6674 from the U.S. or (973) 321-1100 for international callers, conference ID# 44427337 approximately 15 minutes before the call. A digital replay will be available by telephone, approximately 2 hours after the completion of the call, for 30 days and may be accessed by dialing (800) 642-1687, from the U.S., or (706) 645-9291, for international callers, conference ID# 44427337.

AIRSPAN NETWORKS, INC. (NASD: AIRN)                                                                                                 Up 5.70% Yesterday

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

Airspan is the industry's leading WiMAX pure player, ranked #1 for IEEE802.16-2004 WiMAX revenue in 2007 and has now been selected for some of the world's largest mobile WiMAX deployments. With direct sales offices throughout Asia, EMEA and the Americas, a worldwide network of resellers and agents, and partnership alliances with major OEMs, Airspan boasts over 100 commercial WiMAX deployments worldwide. www.airspan.com.

Recent AIRN News:

April 22, 2008 - Vodacom Lesotho Selects Airspan's WiMAX Solutions

Airspan Networks Inc. (NASDAQ: AIRN), a leading worldwide provider of WiMAX based broadband wireless access networks, today announced that Vodacom Lesotho, a subsidiary of Vodacom Group has selected Airspan as its preferred WiMAX supplier. Airspan will supply its MicroMAX base stations in the 3.3 - 3.5 GHz frequency band in addition to CPEs (customer premise equipment). The contract is through Airspan's reseller partner, TVS.

Vodacom is a Pan-African cellular communications company providing a world class GSM service to more than 23 million customers in South Africa, Tanzania, the Democratic Republic of the Congo, Lesotho and Mozambique. Vodacom South Africa launched its 3G network in December 2004 and its 3G HSDPA network in March 2006. Vodacom Lesotho launched its commercial operations in May 1996 and is considered to be of strategic geographic importance to the Vodacom Group.

Vodacom Lesotho currently holds 80% of the GSM market in Lesotho and has more than 400,000 subscribers. They will use Airspan's WiMAX solution to introduce high quality IP data services to their current subscriber base as an alternative to fixed line broadband access. Airspan's solution is ideal for rapid deployment especially in the rural areas where traditional cable infrastructure is challenging to deploy. However, in compliance with its license requirements, VoIP service will not be offered by Vodacom Lesotho.

"This contract win once again highlights the flexibility and scalability of Airspan's base stations and CPEs. Our WiMAX solution will enable Vodacom Lesotho to offer world class data services at more affordable rates to the fixed line alternatives currently available in the Lesotho market," commented Anders Rendahl, Airspan's Senior Vice President of Sales and General Manager of EMEA.

Airspan's MicroMAX system provides a low-cost, high-performance point-to-multipoint IEEE 802.16 compliant solution. This OFDM based architecture is suited to deliver high-speed data, Voice Over IP (VoIP), and multimedia services to residential, SOHO (small office/home office), and SME (small medium enterprise). MicroMAX offers service providers an integrated access solution, providing quick-to-market deployment and low-market entry cost for broadband services in an expandable "pay as you grow" model.

About TVS

TVS is a Johannesburg, South Africa based systems integrator with operations more than 15 African countries, specializing in infrastructure design and implementation. TVS has built a solid track record in the Southern African region for delivering world class systems to Telco's and Celco's alike.

LOCAL.COM CORP. (NASD: LOCM)

Up 4.68% Yesterday

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

Local.com (NASDAQ:LOCM) is a top U.S. website and local search network attracting approximately 15 million visitors each month seeking information on local businesses, products and services. Powered by the company's proprietary Keyword DNA(R) and patented local web indexing technologies, Local.com provides users with relevant local search results, which include special offers, user ratings and reviews, local businesses' website links, maps, driving directions and more. Businesses can advertise on Local.com via a selection of subscription, pay-per-click, banner and pay-per-call ad products. Local Mobile(TM) provides local search results to mobile phones and wireless devices. The company serves the UK market at http://uk.local.com. Local.com claims U.S. patent numbers 7,231,405 and 7,200,413. For more information visit: www.local.com.

Recent LOCM News:

April 22, 2008 - Local.com Named a Finalist for 15th Annual AeA High-Tech Innovation Awards

Local.com Corporation (NASDAQ:LOCM), a leading local search engine, today announced that the company's Local Mobile(TM) service has been named a finalist in the Product of the Year - Internet category for the 15th Annual AeA High-Tech Innovation Awards.

The 15th Annual AeA High-Tech Innovation Awards will be presented at the Hyatt Regency in Irvine on Tuesday, April 29, 2008. The awards recognize local companies, individuals and products in the technology field that drive innovation in Orange County. In addition, AeA Orange County will recognize educators and students for their innovative use of science, math and technology in the classroom and the community in conjunction with Project Tomorrow, the nation's leading education nonprofit group focused on preparing today's students to be tomorrow's innovators.

"AeA's High-Tech Innovation Awards showcase ingenuity and give a sneak peak at what's next in innovation," said Don Hicks, executive director, AeA Orange County Council. "We are excited that Local.com is a finalist and greatly appreciate the participation of the entire Orange County and Inland Empire technology community."

Return to the Alert Archives