Monday, 17 September 2007

Howard Group Ends Commentary Coverage On JER Envirotech

We will no longer be providing comment on the activities of JER Envirotech (JER - TSX V). We've been with this story a couple of years and have witnessed its highs and lows.

This story initially (2005) caught the market's attention in rapid fashion based on an aggressive, and as it turns out, extremely optimistic sales forecast. The company's fortunes slid, as did its stock price, as it became painfully apparent that the expectations of the former management group would not even come close to being realized.

With the company down to fumes in its bank account, new management was brought in late last year under President Ed Trueman, who has assembled an entirely new team. Five million was raised very recently to support operations.

We know that JER has been making good progress and would not be surprised to see meaningful news out of the company in the not too distant future.

We've always liked the product and the technology and felt JER had the potential to become a company generating many millions of dollars in sales. That being said, we will watch its progress over the next quarter or two and in all likelihood will look for opportunities to exit our position.