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Important Update
Submitted by: MH Motors (CAR)Date: May 21, 2008
Dear Shareholders,
I just wanted to give a general update about our company by answering some questions which were often asked.
During my session with some of you, the question of listing on another stock market was often mentioned. In my opinion, I believe that I am responsible for all my shareholders to ensure that our investment is safe. WSE has been closed for maintenance, and I agree that it is taking more time then it should be, but I believe that there must be a reason for it. I also believe that WSE is one of the most secure stock markets and that it is better for us to stay in here. I personally have a portfolio which was around 12ML$ worth shares on WSE before it was closed for maintenance. This is all a matter of trust, you trusted me enough to invest in my company, and I would appreciate that you trust me enough to believe that it is better for us to stay in WSE rather then go moving to another stock market where our stock prices will fall along with the trading volume.
Another questioned often asked was “ Why don’t we go private as we already have big assets?”
Well the answer is very simple; we are currently floated on a stock market with a huge number of shareholders in our company. I don’t have enough time to take the list of each shareholder and pay dividends or talk to them individually about the company. My job is to run the company, aim for growth and profitability. I am very honest on this, I don’t want to be the SL mother Teresa and pretend that we are better off private. Going private will just create more work for me and trouble for the shareholders. I have watched carefully some companies that went private recently and I have noticed that very few went really successful and that in most of the cases, the owners just don’t pay their shareholders anymore.
3. “What have you done with all our dividends?”
First of all, my private expenses are separate then the companies specially taking into account the fact that I am the major shareholder of my own company and I only know how much I worked to bring it here where it currently is. Talking about that expenses account I showed in one of my previous announcements, it was just a sarcastic report to calm the atmosphere, if you didn’t like it, then don’t read it and don’t invest in my company. I like being in a good mood and working with smile rather then stressing and being serious 24/7. If you don’t like my management style, I can’t do anything, but always remember that our company has NEVER made a loss which should really indicate that I am pretty good and what I am doing. Talking about dividends, I have invested a lot of money in opening new showrooms and diversifying. As you know, we have merged recently which also required investment as I had to gather both companies which had completely different corporate culture and aims. We have mainly invested in areas of high traffic near info hubs which is good for our brand awareness and hopefully sales. We have opened 8 new showrooms since, and they seem to be profitable till now.
4. “What exactly have you been doing for the past months as we didn’t really hear a lot from you?”
As you might know, I own several companies in Second life. I have a real estate business, furniture and home prefabs, Cars and soon launching my new business venture. MH motors is the business that requires the most work as I have to script and make sure that all is working; cars require a lot of work, building scripting testing and selling. All these procedures require time. Unlike some other companies on WSE who are simply focusing on real estate, we do have to take care of any external influences that might change the running of our company such as Havok4. Havok4 required 2 weeks of intensive scripting as I had to completely change the car engines and start from scratch but also to update all our old models and send updates. All this is very time consuming and has kept me busy. We also faced a large theft from the copy bots and some people stealing our names for which I had to file some legal procedures.
Well I think I have said enough about the company and the questions, if you need more information, feel free to ask.
Frageurs Hock
C.E.O of MH Motors