Aug 2nd 2009, 15:26 MLS MiLOS Designs
by firstdesigns Milos
MLS Posts Dividend to Shareholders
The month of July brings only transparency. After compiling the financials I have carried out additional analysis and some decisions will be made; these decisions will be fully explained below.
There are a number of speculative ideas that could attempt to explain the reason for the current financials being as they are. The 'Summer Slump' might be a good explanation, or an increase in competition reducing average sales. Everyone knows that I always put my all into what activities I undertake. I am not perfect and there are definitely mistakes that will have been made.
The primary problem area relates to one of the two store locations for MiLOS Designs; being the main store situated at Villota Island. Since the grand opening in September 2008 the store has experienced difficulty in providing a similar ratio of income : expenditure than that of the Belgique store location. July 09 has seen the biggest deficit with regards to the Villota Island location with an outlay accumulating L$48,940, with an income of L$16,365.
Having consulted a number of respected individuals I have made the decision of putting 30 days notice on the Villota Island location. The main store will be removed promoting the Belgique store as the 'main store'. The result of this action will bring the benefit of reduced 'cost of sales', thus increasing the margin of safety.
This recent occurance has been a learning curve and I am choosing to take action now in order to regroup and bring structure.
As stated in the previous months 'Note to the Accounts' a new original store is being pieced together. The build is fully developed, in addition to the fixtures and fittings. I am continuing the task of creating consistent product posters to be placed in store. This is a somewhat tedious task and I am spending as much time as is humanly possible to get on with finishing this task in order to open the new store.
I am also looking for places around SL where I can place one or two products on empty wall spaces, with split pay scripts inside to bring a % of each sale to the land owner. Xstreet sales have been moderate and currency arbitrage is consistent.
In October when I became listed I stated that I did not need the money in the day-to-activities of the business. I was simply interested in using it to provide stability to MLS, in good times and bad. Now I am sorry to say is a bad time, and I am only going to be honest. I apologise that the financials were not posted on the 1st, but I needed an extra day to assess the best action to take.
July 2009 will see a reduced dividend, which is justifiable in the above information.
Dividends of 0.25 cents per share will be paid shortly.
With kind regards,
Chief Executive Officer - MiLOS Designs
|Total Amount of Dividend||L$5,000.11|
|Number of shares outstanding||2000000|
|Dividend per share||0.0025|
Dividend posted successfully, and all shareholder accounts have been credited.