Friday, June 3, 2011

e-mail's with COGO's IR

About a week and a half ago I had found COGO's IR e-mail address ( . I sent him a message about COGO's share repurchases which took him five days to respond. I e-mailed him eight other questions, but eight days later, I still haven't heard back from him.

Here are my e-mails:

May 21, 2011 (Saturday)

Can you tell me if the stock repurchases were done on the open market or done through negotiated transactions?

Joshua Walis

May 25, 2011 (Wednesday)

Dear Joshua
How are you? The repurchases were done on the open market.

May 25, 2011 (Wednesday)


I am good, thanks for asking.

So let me clarify. All stock repurchases COGO has ever done as been on the open market and none have been through negotiated transactions?

I have more questions that I need to get cleared up.

1) As per the 2004 10K on page 46, the CEO, Jeffrey Kang, owned a 6.1% interest in Viewtran.  Nowhere in the 2007 report did COGO disclose the CEO had an interest in Viewtran before they bought it. Why did they not disclose this?

2.)  Did any the CEO or any of the management have any interest in Shanghai E&T, Comtech Broadband, Keen Awards, Longries, Mega Smart or MDC Technologies before the company bought it?

3.) In 2007, COGO dismissed their auditor Deliotte, why did they dismiss them? I did not see any explanation in the firms 10K.

4.) Why is there a contractual agreement with Vice president and the CEO's mother for the economic interest in ShenZhen Comtech? In prior 10Ks, the equity for ShenZhen was with the CEO and his wife, why did you change around the equity? How many companies are owned within ShenZhen Comtech? How many companies are owned through COGO directly?

5.)  What exactly is COGO's business? Are they mostly a reseller for electronic equipment? What kind of engineering design work do they do? What exactly is COGO 3.0?  I am very coonfused how exactly COGO makes there money and I would like some clarification.

6.) According the filings, COGO will find it difficult to release dividends to shareholders because Chinese regulations in terms of currency conversion. Yet, how did COGO convert their RMB to USD to buy COGO stock if it's in USD? If COGO can buy back stock on the open market, like you said, with USD doesn't that mean COGO can also release dividends now and no longer is affected by this regulation?

7.) Wanyee, what is your relationship with the company? Is your function solely to be the investor relations?  Do you do investor relations for any other firm, and if so which ones? Are you at all related to the CEO or the management to COGO?

8.) Why did the company have to re-domesticate in the Cayman islands to go public on the Hong Kong Stock Exchange?

June 03, 2011 (Friday) (no reply yet)
Maybe I should call him?

Wanyee Ho
Cogo Group, Inc. (Nasdaq: COGO)
Investor Relations
HK: +852 2730 1518
US: +1 (646) 291 8998
Fax: +86 (755) 2674 3522

1 comment:

  1. Plane tickets are cheap. Just show up at their HQ. :)