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Tuesday, November 13, 2007

One Product Meets Two Rising Demands

According to the International Energy Agency's 2007 World Energy Outlook, global energy demand will increase by more than 50% by 2030. The IEA also forecasts that it will cost $22 trillion to expand the necessary infrastructure required to accommodate demand. So, undoubtedly the need to conserve energy has never been such a critical issue. This is before environmental issues even come into discussion.

A Rose By Any Other Name . . .

So while the world corporately, and we personally, strive to reduce waste and increase energy efficiency, our investment radar is always on the lookout for a company that stands to meet a rising demand. One company helping the world become more energy efficient (while improving health), is Diet Coffee Inc. (OTCBB: DCFF). Their Ionic Bulb is an innovative product with global appeal that meets not one, but two rising demands – one of them NOT being caffeine deprived Americans despite what the name implies.

From a market perspective, DCFF traded up over 33% Monday on volume exceeding 3,000,000. Shares held solid in the .04 range Tuesday on volume exceeding 3,000,000 after hitting highs of .05 both days. Things cooled off a bit towards the end of the week as shares dipped down to .025 where they closed last Friday.

We could see shares trend upwards again as the stock does not appear to want to trade lower than .02. If the market embraces this news as warmly as it did last week’s, .04, or even last week’s high of .05 is a distinct possibility. From our perspective, pre-sales from international customers and a two million dollar line of credit that keep the share count unchanged are very positive for a company at this stage in the game.

Innovative Product with International Appeal

The Ionic Bulb (www.ionic-bulb.com) comes equipped with a patented air purifying microchip ion emitter that is powered by the bulb's own energy. In addition to being 4X more energy efficient, the bulbs last up to 10X longer and use 50% to 80% less energy than regular incandescent light bulbs. The bulb silently emits negative ions that help clear the air of smoke, dust, pet dander, and odors.

With retail contracts in place with leading online and brick and mortar leaders including Walgreens and Amazon.com; the future looks bright for the company. This holds especially true if they are able grow their distribution infrastructure in such a rapid fashion as they have in recent weeks. On the heels of the Walgreens and Amazon.com deals announced last week, DCFF announced today that they had
received a purchase order from Moscow-based Windfall Media Ltd., the company’s sole distributor for the Ionic Bulb in the Russian markets.

WalMart and GE Are Not Bad Company

If you have seen any of the many commercials from WalMart pitching products for a greener planet – particularly one about a “funny looking light bulb”, it is easy to see (as this large corporation has) that the demand is there. In fact GE and WalMart are partnering in a commitment to get consumers on board with new energy efficient light bulbs. The way I see it, if Wal-Mart and GE, two of the nations largest corporations are working strategically to market a bulb with less capability that the Ionic Bulb, than the future for DCFF is indeed very bright. Oh, I kill myself.

With plans popping up around the country for the government to provide incentives for hybrid cars, green buildings, renewable energy development and households that reduce their energy usage, the Ionic Bulb holds a solid value proposition in today’s eco-conscious world. So while it flounders in the stock market with its share price, DCFF seems to be flourishing in the global market with its product. Now if it would only change its name, the stock price may follow suit. We expect to see a lot of progress from DCFF so put it on your ticker and look for a good entry point.

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5 Comments:

Anonymous Anonymous said...
I spoke with the TA. They are selling shares and lots of them. Two weeks ago the O/S was 72 Million. Its over 85 million. 85-95% of shares of the last few weeks have been shares sold by the company. Unreal for you guys to post that it won't go below .02 and that they won't be selling.
6:00 AM  
Blogger "Staff" said...
Thank you for the comment. For the record, we are here to help out and provide new interesting ideas. It is up to you, the subscriber to take that initial info and do with it what your heart desires.

Our technical analysis brought us to the conclusion that the market did not appear to want to unload shares under .02. Apparently, we were wrong.

Never did we state that the stock WOULDNT go below that level. I also don't see where anyone said that the company would not be selling, my friend. That is far out of our helm of control here at outcast.

On a positive note, I paid a personal visit to the company's office the week before thanksgiving and this I can tell you for sure:

#1 DCFF has an innovative product in its Ionic Bulb. I saw it first hand and it is quite impressive.

#2 The biz dev team there is working like crazy establishing distributor relationships around the world.

I saw the list on their sales guy's desk. Unless he's a very good actor, they are making serious progress in regards to getting the product placed globally in substantial volume.

#3 In order for the product to be successful, the company needs to shoot a number of advertisements/infomercials and then send them to distributors around the world to dub in their launguage of choice.

#4 This requires money, and I would guess that after checking out their recent filing, the company could be using their shares as a means to secure funding for the ads.

#5 The guys at DCFF are working for bare bones right now from what I understand because they believe that once the product hits market in a significant way, its off to the races.

So for now, I suppose if you believe in the product, stay with the stock. If you don't think that the Ionic Bulb has great potential for future growth, maybe its time to develop an exit strategy.

In closing, I try to report my take on what is happening in the market and am not always 100% accurate.

To quote myself:

"So while it flounders in the stock market with its share price, DCFF seems to be flourishing in the global market with its product. Now if it would only change its name, the stock price may follow suit. We expect to see a lot of progress from DCFF so put it on your ticker and look for a good entry point."

So, to defend ourselves in a gentlemen like manner: we did state that the stock was having trouble in the market, we did not identify .02 as a good entry point, and also, we never said that the company was not selling.

We posess a great wealth of knowledge on our portofolio companies and are here to answer any questions that pop up. But please, lets hold off on the finger pointing and work together to provide investors with the best pool of information on these hard to study small caps as possible. Deal?
9:36 AM  
Anonymous Anonymous said...
Deal! No finger poting, but can you research some of this.
"From our perspective, pre-sales from international customers and a two million dollar line of credit that keep the share count unchanged are very positive for a company at this stage in the game."

This is what i'm having a hard time with, The line of credit has not been made public"
--"Unchanged are very postive"
The company is selling. Do an article on this so that the company has a right to defend itself.
1:52 PM  
Blogger "Staff" said...
To all (including one sharp "anonymous" reader)

My deepest apologies for the mixup in our recent edition on Diet Coffee Inc. (OTCBB: DCCF).

I received a pre-market news release, which the write-up was focussed on. This edition made note of a credit line that was not included in the final version.

For the sake of facilitating a fair and valuable discussion on the company, I will admit that I may have been "in the wrong" from a few angles:

#1 For starters, I should have caught the error and deleted commentary on the credit line. Let me follow the statement by saying that I did not intend to prosper, nor did I prosper in any way from including that info in my post.

#2 Whether or not the credit line was mentioned, I assumed (and apparently wrongfully so) that it would prevent the OS from rising.

In my assumption, a credit line may likely be used solely to finance manufacturing of the Ionic Bulb.

If I was providing a line of credit, I would certainly rather see my dough go towards building product in order to fulfill the obligation to Walgreens than anything else.

Essentially, the company's fate hangs in its ability to mass commericalize the Ionic Bulb and sell it around the world. So, despite there being line of credit or not, the company may need to sell shares to support other operations until revenues start potentially rolling in from product sales.

Again, I've sat with corporate exectutives, both in the boardroom and in their respective offices. These guys are hungry and putting in, from what I saw, a valiant effot to make this company work.

From working late night to pursue distributor relationships overseas, to accepting modest wages, the team at DCFF seems dedicated to doing whatever it takes to succeed. I'm not 100% certain, but I do not believe their CEO has not issued himself a share yet personally.

As for our valued reader's comment on speaking with the TA and the company selling shares, I have not verified these claims. However, it would not shock me to hear that they may be using a bit of stock to cover their nut until the infomercial begins running.

Again folks, my apologies for the mix up. While many others in this game would have just as easily deleted the error and the reader comment, we strive to bring you the most accurate coverage of hard to research small cap and micro cap stocks available.

Thank you again to the sharp reader. And please, keep the comments - positive or negative - coming!!!
10:49 AM  
Anonymous Anonymous said...
I sent a researcher from one of are New York Offices to research the company. One lady answers the phone for many companies. Besdies that their may be a second women working in the office. Adam Engel has confirmed, as well as two other sources that he is the only employee. The recent filling confirms that, Adam Engel confimed that last week. And so did my second source. So i'm not sure what Sales guy you are talking about or biz dev team. They could of been their for your showing, I'm not sure.
Since that is public news can you please bring to the board the 1st names of these employees.
Island Stock transfer will confrim over 13 million shares being sold as of 23 of NOV. Lindsey from Island? The stock has sold an additional 5 or 6 million and i would bet the O/S has increased futher.
One of my sources also discover on

I also discovered that a newspaper article will be published soon about the companies past dealings. I understand new managment new company, but the stock just went from .054 to .004.



Thanks you for your response. It was honest. I respect that.
12:48 PM  

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