ALLIED BRANDS SHARES CONTINUE PRICE COLLAPSE AS GOOD NEWS INCREASINGLY HARD TO FIND OR INVENT

Allied Brands (ABQ) said in a market announcement last week (21st April) "The company will be in a position to give an overall update to the market by the end of April on results to March 2010".

The end of April is come and gone. Once again another LIE by Allied Brands. Of course the last set of announcements before the last annual report saw Managing Director Peter Graham insisting the company was "on track" to a $6million to $7.5million annual profit when just weeks later the company so spectacularly missed these numbers. So we should be thankful that Shane Radbone hasn't yet figured out what story to tell the market on Allied's behalf.

Especially as there has been no explanation for the departure of Director Jury Wowk after barely nine weeks inside the company. Likewise the disappearance of investors Tom Krulis (Godfrey's) and Barbara O'Brien (Breville) who've made themselves scarce after big announcements of their participation. Guess when you're that rich, you can do your dough on a company like this and still take advantage of the tax loss.

The question of the week - is it a conflict of interest for Chairman Lachlan McIntosh to appoint Korda Mentha as liquidator, seeing he's also a director at Korda Mentha? Or is this just mate's rules???

The company is now valued by the market at $17.8M.

Allied paid:

$7.1 MM Awesome Water

$5.8 MM Kenny's Cardiology

$5.83 MM Cookieman

$2.8 MM Villa & Hut

$.15MM Coffee Bean & Tea

$ 0 Bayswiss (known moneyloser)

$21.7MM PAID BY ALLIED FOR THESE DOG COMPANIES

And the company did some "fast and loose" with the Awesome Water purchase, leaving the sellers short by some $4MM, according to insiders.

Plus the only real operation, Baskin Robbins Australia which was sold to the market for $4.8MM at the original float, which was said to represent only part of the company's worth.

TOTAL INVESTMENT BY ABQ INTO THESE

ALLIED BRANDS COMPANIES

$26,455,000

Time for someone with skill and talent in running franchised businesses to come and pick up this carcass for a song.