EFJI - EFJ, Inc (Naz GM)

[Klipper22]

Not sure if this will be able to remain in the Small Cap area for very long, but gotta be considered as a tramp play. Absolutely crippled on news lately. On lookout for the bounce.

EFJ Inc.
1440 Corporate Drive
Irving, TX 75038
United States - Map
Phone: 972-819-0700
Fax: 972-819-0639
Web Site: http://www.efji.com

DETAILS
Index Membership: N/A
Sector: Technology
Industry: Communication Equipment
Full Time Employees: 375


BUSINESS SUMMARY
EFJ, Inc. provides secure wireless technologies primarily for the homeland security marketplace primarily in North America. It operates in two segments, Private Wireless Communications and Secured Communications. The Private Wireless Communications segment engages in the design, development, marketing, and support of wireless radios, and wireless communications infrastructures and systems for digital and analog platforms. This segment also offers various services, including technical support maintenance contracts, service parts, and training. It sells its products and systems to governmental entities, such as the departments of defense and homeland security, and state and local governmental agencies. The Secured Communications segment provides secured communications encryption technologies for analog wireless radios, which are sold as aftermarket add-on components or embedded components for existing analog radios and systems. This segment also provides wireless networking solutions that are customized to client's security challenges and voice, video, and data communication needs. In addition, this segment offers secure Wi-Fi products, including mesh network, access point, bridge, and client infrastructure products, as well as security software; and sensor networking solutions, which enable sensors and databases to communicate data to pertinent personnel for command and control applications. EFJ sells its products directly, as well as through dealers and manufacturer representatives. It also has operations in Europe, the Middle East, Asia, and the Central and Latin America. The company was founded in 1978 and is headquartered in Irving, Texas.

Shares Outstanding: 26.06M
Float: 25.72M

http://stockcharts.com/h-sc/ui?s=EFJ...9528&listNum=3

[Klipper22]

News last week:

UPDATE 1-EFJ cuts 2007 outlook, to reduce 18 pct of workforce
Tue Jan 8, 2008 9:31am EST

Jan 8 (Reuters) - Wireless communications company EFJ Inc cut its 2007 outlook due to delayed shipments in one of its units and said it will reduce its workforce by about 18 percent in the first quarter of 2008.

The Irving, Texas-based company sees revenue of $153 million and $156 million in 2007, down from its prior forecast of $160 million to $170 million.

EFJ also expects a larger operating loss in 2007 compared with its earlier view of operating income of $1 million to a loss of $2 million.

The company said the factors which delayed shipments in its EFJohnson unit in late December were being resolved and the majority of the products were expected to be shipped in the first quarter of 2008.

EFJ said it will cut 65 to 70 jobs in the first quarter of 2008 to eliminate duplicate positions and centralize production operations in the Dallas/Fort Worth area by closing facilities in three locations.

Fourth-quarter results will include one-time charges of 2 cents to 3 cents a share, related to streamlining of the organization, EFJ said in a statement.

The company, however, is still on track to save $3 million to $5 million in costs in 2008, it added. (Reporting by Aditi Samajpati in Bangalore; Editing by Pratish Narayanan, Anupama Dwivedi)

[Klipper22]

And their 8-K

Form 8-K for EFJ INC


--------------------------------------------------------------------------------

9-Jan-2008

Results of Operations and Financial Condition, Costs Associated with Exit or Disposal Act



Item 2.02 Results of Operations and Financial Condition
The information pursuant to Item 2.02 in this report on Form 8-K is being furnished as contemplated by General Instruction B(2) to Form 8-K and shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that Section and shall not be deemed incorporated by reference into any filing under the Securities Act of 1933, as amended, or the Exchange Act.

On January 8, 2008, the Company announced certain expectations regarding revenue for the fourth quarter and year ended December 31, 2007. This information is being furnished pursuant to this Item 2.02. A copy of the press release is attached hereto as Exhibit 99.1.





Item 2.05.Costs Associated with Exit or Disposal Activities.
The Company is implementing an organizational plan (the "Plan") announced in the fourth quarter of fiscal 2007 to shift from three divisions to one integrated corporate structure focused on secure wireless communications for government and industrial customers. In conjunction with the appointment of the Chief Operating Officer on November 15, 2007, the Company committed to this course of action. The Plan is designed to achieve profitability and to support a new technology roadmap driving towards a streamlined and more effective structure, with key functions aligned under the newly created position of chief operating officer. Implementation of the Plan includes senior and middle management changes as well as staff reductions designed to eliminate redundant positions and reflect the Company's decision to close down production in three locations, with all outsourcing to be centralized in the Dallas/Fort Worth area.

The Company intends to treat certain costs that are directly associated with the Plan as "restructuring costs" (as defined by Statement of Financial Accounting Standards ("SFAS") No. 146, "Accounting for Costs Associated with Exit or Disposal Activities"). Other costs that are not properly classified as restructuring costs will generally be classified as other operating expenses or costs of goods sold in the Company's consolidated statements of operations.

In connection with the Plan, the Company anticipates incurring between $0.8 million and $1.1 million in total costs, which it expects to result in cash expenditures of between $0.8 million and $1.1 million. The Company anticipates recording between $0.6 million and $.75 million of these costs during the fourth quarter of 2007 and the remainder in the first six months of 2008. The Company estimates these costs will consist primarily of severance, relocation, and other employee-related costs.

This Current Report on Form 8-K contains forward-looking statements regarding future restructure charges. Actual events or results may differ materially from those contained in the forward-looking statements. Please refer to the documents the Company files on a consolidated basis from time to time with the Securities and Exchange Commission, specifically the Company's most recent Form 10-K and Form 10-Q. These documents contain and identify important factors that could cause the actual results for the Company on a consolidated basis to differ materially from those contained in our forward-looking statements (see Certain Factors). Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. We are under no duty to update any of the forward-looking statements after the date of this report to conform to actual results.





Item 5.02 Departure of Directors or Principal Officers; Election of Directors;
Appointment of Principal Officers; Compensatory Arrangements of Certain Officers
(c) On January 4, 2008, Ms. Ellen O'Hara, who was serving as EFJ, Inc's (the "Company's") Executive VP, Sales and Marketing provided her resignation to the Company effective as of January 4, 2008. Pursuant to the terms of a Separation Agreement between Ms. O'Hara and the Company, Ms. O'Hara will receive separation pay equal to one year's base salary ($260,000) payable in accordance with the Company's normal payroll procedures over a period of 12 months, offset by any sources of earned income she may receive during such 12 month period, whether through employment, self-employment or otherwise. In addition, Ms. O'Hara will receive health insurance at least equal to the benefits provided to active employees of the Company for one year. In accordance with the Age Discrimination in Employment Act, Ms. O'Hara has seven (7) days following the date of the Separation Agreement to revoke it. A copy of the Separation Agreement is attached hereto as Exhibit 10.1 and incorporated herein by reference.

[Klipper22]

Yee haw. We got in last week. Printing 1.50 now. Beautiful bottom play.

http://stockcharts.com/h-sc/ui?s=EFJ...4842&listNum=5

[BadThad]

Indeed....very nice.

[greencat]

EFJI Adding to my watch list. Could make a nice move