Synergex is a premier international logistics company providing a value driven suite of supply chain management solutions such as distribution, freight forwarding, logistics, and creative services. Synergex is presently among the largest distributors of video games, game consoles, and accessories in Canada. In addition, the company began its international expansion in 2006 by entering the Mexican market and opened facilities in Colombia, Brazil and Chile in 2007. In 2008, Synergex acquired operations in Argentina.

Synergex has undergone a significant restructuring over the past 15 months which has resulted in improved corporate profitability and new growth initiatives in Latin America. The company had a record Q3 and its Latin American operations reached profitability for the first time which should add to the bottom line going forward. In addition, retail activity traditionally experiences its highest activity during the fourth quarter as demand peaks for computer entertainment consoles, accessories, and related software. The company is presently trading at just 3 times expected earnings for 2009 and at a significant discount to its book value of $0.71 per share.

Boyuan Construction is in the business of residential and commercial building construction, municipal infrastructure and engineering projects in China. Over the last 3 years the company has completed more than 125 projects in both the private and public sectors.

Boyuan remains on track for another record year in fiscal 2010. The company currently has a total order book exceeding US$200 million representing over US$18 million in projected net income. As at September 30, 2009, Boyuan had positive working capital of US$29.9 million or US$1.16 per share. Adjusted net earnings for fiscal 2010 are forecast to be US$12.4 million which we calculate to be about US$0.48 per share on a basic plus preferred basis. The company is presently trading at 7 times trailing earnings and below 6 times projected fiscal 2010 net earnings (3.6 times after deducting working capital).

Redknee is a leading global provider of innovative communication software products, solutions and services for the mobile communications industry. The company’s global customer base includes over 70 well-known communication service providers in more than 50 countries.

The company is presently trading at just over 11 times trailing earnings and has a healthy balance sheet including cash and short-term investments of $22.4 million ($0.39 per share) and positive working capital of $20.7 million ($0.36 per share). Redknee also has no debt and an undrawn US$10 million line of credit. The company's backlog at the end of the third quarter totaled approximately $28.3 million representing more than 6 months of forward revenues. About 40% of revenues are recurring in nature.

JITE Technologies designs, manufactures and sells electronic and electrical connection devices for security, elevator, railway, industrial control, automation, telecommunication, and power supply industries. Some of the company’s top customers include well known names such as GE, Tyco Electronics, Siemens, Emerson Process Management, and Panasonic.

As at June 30, 2009, JITE had cash and cash equivalents of $8.0 million ($0.38 per share) and net working capital of $13.8 million ($0.65 per share). The company’s book value was $11.0 million or $0.52 per share. JITE has also been profitable since inception and has already earned $0.03 per share in the first half of 2009. If margins stay high, earnings should continue to improve as the demand for terminal blocks increase with an economic recovery. The company is presently trading at less than 5 times earnings despite already trading at a discount to cash and working capital.

Great Plains Exploration Inc. was incorporated in March 2004 and commenced oil and gas operations in June 2004. The company has completed a number of major acquisitions, including the purchase of RedStar Oil & Gas Inc. in May 2008 for an effective price of $29.0 million.

Through its inventory of high impact projects and behind pipe volumes, Great Plains continues to offer growth in a challenging environment. The company recently tested a 40% interest oil well that flowed at rates of up to 2,222 boepd with estimated reserves of 2.3 million barrels of light oil. As of the latest release, Great Plains was producing 1,400 boepd (65% gas) with an additional 1,500 boepd (74% oil) behind pipe and 400 boepd temporarily shut-in which is expected to be back on production by the end of Q3/09. The company has identified 27 drilling opportunities and has 32 additional contingent locations in inventory. Great Plains' net asset value was estimated to be $95.4 million ($1.03/share) at year-end using a discount rate of 10%.

Serenic Corporation is a global provider of business solutions for the medium to large NFP (not-for-profit) organizations. The company also conducts business in certain public sector vertical markets in North America through Microsoft NAV reseller partners. Serenic's principal product “Navigator” has been sold to and implemented by more than 300 clients in multiple countries and languages.

Serenic currently has over $3.0 million in cash with no debt and near break-even status. Cash alone respresents approximately $0.20 per share which is where the company's shares are currently trading. Furthermore, recent acquisitions in the "Enterprise Resource Planning" software industry have been completed in the 1X to 2X annual sales range. Based on a conservative multiple of 1X to 1.5X trailing revenue, the estimated acquisition value of Serenic’s operations alone (excluding the public company structure and cash on hand) is estimated to be between $10 and $15 million or $0.52 to $0.78 per share on a fully-diluted basis.

Triton Energy is an oil and natural gas exploration, development and production company focused on growth primarily through internal prospect generation, as well as through strategic acquisition, farm-in, and farm-out opportunities. The company was incorporated on February 4, 2004. Triton’s three primary areas of operations include Newton, Sullivan Lake and Lanaway.

Despite challenging economic conditions in the oil and gas sector, Triton has increased production and is prudently managing its available cash flow on properties that provide the greatest economic return and value to its shareholders. The company is presently trading at a trailing price to cash flow ratio of only 1.0 times and at only 0.2 times its net asset value of $0.91 per share. Triton Energy, like other natural gas producers, saw dramatically lower cash flow during Q1/09 and will likely face even greater cash flow challenges in the second and third quarters. However, Triton remains ahead of the pack in virtually all fundamental categories in relation to its peer producers and appears poised to add considerable shareholder value upon a recovery in natural gas prices.

Questor Technology is an international environmental oilfield service company with operations in Canada, the US, Europe, and Asia. The company designs and manufactures high efficiency waste gas incinerators for sale or rental, and provides combustion-related field services.

The company has been profitable for several years and presently has positive working capital of $4.4 million or $0.19 per share with minimal long-term debt. Questor is currently trading at less than 7 times trailing earnings on a “net of working capital” basis. Revenues over the prior 12 months did not include any significant orders which are now a distinct possibility for 2009/2010. Questor presently has over $31 million in outstanding quotes. Revenues for the entire 2008 fiscal year were $4.5 million.

QHR Technologies is primarily involved in the development and delivery of human resource (HR) management, payroll, staff scheduling and financial software systems for the healthcare and social services sector as well as electronic medical records applications for physicians’ medical offices.

The company has recently completed several key acquisitions and posted record revenues in the fourth quarter. A strategic advantage to QHR's business model is its recurring revenue stream which reached an annual rate of $4.8 million at the end of 2008 and has since increased to about $6.0 million.

Management expects 2009 revenues and earnings to continue to improve, with revenues projected to exceed $10 million based on recent acquisitions and the growth of both of the company’s divisions. It is also anticipated that pre-tax earnings will improve to $0.06 to $0.08 per share in 2009 with the increase in recurring revenues and new growth initiatives that management has set out.

International Sovereign Energy Corp. (ISR) is active in the exploration and development of hydrocarbon reserves in Western Canada and internationally. A new board of directors was elected at the company’s annual general meeting on June 23, 2008. Since this time, the new management team has been instrumental in improving production domestically, while eliminating debt, reducing and controlling overhead expenditures, and placing ISR on a sound financial base from which to grow.

ISR is in the enviable position of having a stable balance sheet, growing production with additional production behind pipe, an unutilized $10 million credit facility, and significant growth opportunities both domestically and internationally. The company appears to be well positioned to weather the current economic turmoil while preparing for future growth once better economic conditions return. ISR is presently trading at only 1.5 times cash flow for 2008 and at only 0.25 of its net asset value. Furthermore, with current production of 1,100 boepd, the company has an enterprise value per flowing boe of $10,243, one of the lowest in our research database.

Fortress Paper is a leading international developer, producer and marketer of security and other specialty paper. The company’s security papers include banknote, passport and visa papers and its specialty papers include non-woven wallpaper base products, and graphic and technical papers. Fortress operates two paper mills - The Dresden mill located in Germany and the Landqart mill located in Switzerland.

In the third quarter of 2007, Fortress completed major capacity increases at both its Dresden and Landquart mills. The improved capacity has resulted in significant earnings growth and a vastly improved balance sheet which boasts positive working capital (net of debt) of $20 million or $1.95 per share. Fortress achieved earnings of $12.7 million or $1.24 per share in 2008 and management is confident that it can continue to add shareholder value in 2009. The company’s shares are currently trading at less than 5 times earnings which falls to less than 3 times when working capital is subtracted. Fortress also trades at a significant discount to its book value of $7.13 per share.

Sangoma Technologies is engaged in the manufacturing, distribution and support of PCI cards for the telephony and wide area network industry. The company's products are used across the world with applications in various industry segments that primarily include PBX, call center, voice monitoring systems, Internet services, government and military, banking, retail, entertainment, medical, and manufacturing.

Sangoma is currently trading at an attractive price to trailing earnings multiple of less than 4 times. Given that Sangoma has minimum long-term debt and positive working capital of $0.25 per share (including cash of $0.21 per share), the company is trading at less than 2 times earnings net of debt and working capital. Sangoma has a strong cash position and is poised to capitalize on the downturn in the economy through accretive acquisitions, development of new products, or possible shareholder rewards.

Asia Bio-Chem is involved in the manufacturing, packaging, and sale of corn starch, germ, fibre, and gluten sourced from raw corn using various chemical processes. The company has 333 employees and produces approximately 270,000 tonnes per year of corn starch and related by-products from its facility located in Liaoning Province, China.

Effective September 13, 2008, Asia Bio-Chem acquired a 100% interest in Daqing Biochemical Company Ltd., a development stage corporation in the process of constructing a 600,000 tonne per year corn processing plant in Zhaoyuan County of Heilongjiang, China. The Daqing plant is expected to be completed by mid-2009, tripling Asia Bio-Chem’s processing capacity to 900,000 tonnes per year and making the company one of the largest producers of corn starch in China.

For the 9 months ended September 30, 2008, Asia Bio-Chem generated revenues of $62.8 million and net income of $8.0 million or $0.18 per share. At the end of Q3, the company had $23.4 million in cash and positive working capital of approximately $30 million. The company is presently trading at less than 3 times expected earnings for 2009 and at only 0.6 times book value.

Humboldt Capital is an investment company with holdings in a number of Canadian focused energy companies, international oil and gas companies, and exploration mining companies.

As a result of the deteriorating financial situation and negative outlook for the Canadian and US economies, management of Humboldt actively liquidated a large portion of its energy and mining portfolio during the third quarter of 2008. As at September 30, Humboldt had a cash position of $22.6 million or $1.85 per share representing 49% of its asset value. In addition, the company has a portfolio value which should currently sit around $10 to $12 million or $0.80 to $1.00 per share.

While Humboldt has shown negative earnings and a decline in shareholder value over the past three years, the market is valuing the company below cash value and has completely ignored any value in Humboldt’s current stock portfolio. With cash now representing half of the company’s asset value, Humboldt is in an enviable financial position to weather the economic downturn and possibly benefit from it. The company is presently looking at a number of new investment opportunities.

RIFCO has become one of the fastest growing automotive lending companies in Canada with a focus on providing motorists with non-prime auto financing. The company derives its revenues from interest charged on loans and gain-on-sale of revenues from securitizing groups of loans for amounts greater than their aggregate book value. RIFCO has approximately 250 of the over 16,000 auto dealerships in Canada presently enrolled to utilize its services.

RIFCO is projecting revenues of $11 million for the year ended March 31, 2009, and is targeting a 60% growth rate in loan originations and a 50% growth rate in managed assets. While many investors may dismiss RIFCO due to its involvement in the loan industry, the company is making significant financial strides with its conservative lending style and increasing market share due to the recent exit of companies such as Americredit Canada, Wells Fargo Auto Finance, and HSBC Canada. RIFCO currently trades at only 0.8x times book value and 4.1 times projected eps.