3 www.taipanonline.com JANUARY 2004 the conventional theories of value and price. In
essence it says that news about anticipated cash
flows and the appropriate discount rate is critical
for individual stocks—  producing either an
upward or a downward swing. And the sooner
you know and can act on this news, the better
your chances of profiting.      In the past two years, Ian’s system, the News
Evaluation Matrix, has generated 58 winners out of 87 plays, with an average gain of 14% on each
and every recommendation (losers and all)—  an
amazing success rate.        In this,  the first issue of 2004,  Ian has pro-
duced another one of his cyclical plays. He has
recommended the same play five times at vari-
ous stages of the news cycle over the past three
years… and made money each and every time.
Read on,  because he’s about to do it again: next, page… Each time the Red Zone Team has played Varsity Group, we’ve
walked away with a quick and
easy profit playing the back-to-
school seasons in August and
January. Over the past year and a
half, we’ve raked in 77%, 40%,
23% and another 77% in profits
playing this stock. Now it’s time                                   for Round 5 and another possible
                                  77% gain by the end of January.
Most of us have painful and expensive memories of college bookstores. You pick all your books and
supplies for the semester, stand in line for about an
hour, and then find out that you have to fork over
US$453.67 for three books. Three books! After your
last nerve has been plucked, you realize there is
nothing you can do about it and hand over the cash
while cursing the school.        By the end of the semester, when you’re ready to
sell back your books to the leeches of academia,
you find out that those same three books you
bought for US$453.67 are now only worth US$45.
So the day after writing a 50-page paper, taking four
mind-numbing regurgitated knowledge exams, and
getting two hours of sleep in three days, you again
curse the school and announce that you’ll keep your
books just to spite them.        That’ll show ’em. Well, until the school prints
“Master of Art” on your degree. True story. They
actually left out the “s” in “Arts.” It’s a fact—college bookstores
charge unbelievable fees for
required course books It’s a good business to get into, too. Varsity Group is in this business. VSTY is an online retailer
of new textbooks and educational materials target-
ing the private middle and high schools, colleges,
and distance and continuing education markets.
Through its eduPartners division it can serve
schools directly, offering a convenient, hassle-free,
cheaper alternative to students.        VSTY makes most of its money in August and
January. That means now. And there are plenty of
catalysts for us to make another quick and easy
profit this time around. Higher education continues
to be a booming business. In fact, according to the
US Census Bureau there are 15.5 million undergrad-
uate and graduate students at more than 4,000 col-
leges and universities in the US alone. Return of an old favorite 77% in Round 1, 23% in Round 2, 77% in Round 3, and 40% in
Round 4. Be prepared for Round 5 and another possible 77%. Ian L. Cooper