PA

Profiting from the Pickens Plan: FAN, Clean Fuels, Fuel Systems

Dont be fooled...we have an ample supply of natural gas here in the US and NA...Its easy for XOM CVX COP to put a nat gas outfit in all their stations...for 3k to convert your current vehicle to nat gas..its worth it....FSYS has a chance win big or be bought..I think the latter will happen...

Profiting from the Pickens Plan: FAN, Clean Fuels, Fuel Systems

FSYS should benefit from the following including Picken Plan:

A Visible Path To $600 Million In Revenue And $2.40 In EPS
Even Without U.S. Adoption – With the leading market position, a
large number of key OEM and distributor relationships, and a big
macro tailwind, we believe Fuel Systems can become a $600 million
revenue company generating $78+ million of EBITDA and EPS of
roughly $2.40 even without U.S. adoption.


CALIFORNIA BALLOT INITIATIVE COULD BE A CATALYST
In addition to overall favorable macro conditions for alternative fuels, we
think a pending ballot initiative in California could be a significant catalyst
for alternative fueled vehicles and would benefit Fuel Systems. The
California Renewable Energy Clean Alternative Fuel Act will be on the
November 2008 ballot and would invest $5 billion in projects and incentive
programs to promote renewable energy and alternative fueled vehicles. This
initiative would allocate $2.9 billion (58% of the total) to cash incentives for
the purchase alternative fueled vehicles, as detailed in figure 6, and $550
million to develop and qualify alternative fueled vehicles.