Thursday, 13 December 2007

Fund Manager Inspires AeroMechanical Price Hike

It started out as a good day on the markets for AeroMechanical Services (AMA) but it turned to dazzle right after Toronto-based Northern Rivers fund manager Alex Ruus appeared on BNN Television and said he was "very keen" on AMA.
Share prices rose from $0.55 to hit a high of $0.70 as over 850,000 shares traded hands. Prices closed at $0.65.
One of the strongest statements Ruus made was that AMA, "is going to be a very valuable company five years out."
To view the BNN interview, please click here and watch the segment that starts at the 38:40 minute mark.
Asked whether he agreed with a recent Research Capital report that has a $3 price target by November 2008, Ruus said that was "definitely doable," depending on AMA's business growth.
One of the brightest prospects AMA faces, Ruus added is the opportunity to equip a large portion of the 1,100 Chinese commercial aircraft fleet with AMA's breakthrough technology.
That technology allows airlines to know exactly where each of its airplanes are, which monitors each aircraft's performance in real time and communicate with its pilots no matter where they are flying.
AMA recently announced it received a Chinese purchase order to cover 10 aircraft in advance of Chinese regulators hopefully lowering the last hurdle that would allow the use of AMA's technology there.
Ruus said there appeared to be a "very high certainty" Chinese regulatory approval was imminent.
In addition, AMA also announced Dec. 13th that it received a $180,000 federal government department grant to create enhanced weather monitoring equipment for commercial aircraft.
The equipment will give weather forecasters a more accurate view of changing conditions as aircraft fly around the globe.
To view the press release please click here.