Minutes from the first Boston Value Investors Meeting by Austin Sher
Austin may be reached at axs888@yahoo.com
Meeting Date: 15-Oct-2008

Our meeting format was as follows:
1) Everyone present introduced themselves
2) Raimondas analyzed Garmin (GRMN) from a "Buffet" perspective (generally: buying very low-risk future consistent earnings at an attractive price; holding period is a few years to forever)
3) I analyzed Vimicro (VIMC) from a "Graham" perspective (generally: buying unencumbered cash and cash equivalents for maximum 50% of their worth; holding period ends when the investor feels that the sale value can no longer increase materially)
4) Discussion of the future meeting format

A few minutes into the meeting we had to change rooms because another group had reserved ours. The room we ultimately used was suitable and we have a pre-reserved room for our second meeting.

Between 20 and 25 individuals attended. Raimondas and I quickly realized that much of the audience was not familiar with basic financial statements. We adapted our analyses appropriately and we believe the comments online reflect that correctly. For a first meeting we don't think the audience members who had at least equal knowledge to ours suffered - by going through the financial statements we more lucidly explained our arguments.

The meeting was beneficial for the audience because we believe that most if not all learned alot that night.

The meeting was beneficial for Raimondas and me because the presentations forced us to organize and present our arguments clearly and convincingly. If either of us was not capable of explaining why we would buy a piece of a company that night, then we were not capable of convincing ourselves that our arguments were sound.

The meeting ended with a discussion of the future meeting format. Raimondas and I suggested (and continue to aim for) a smaller group (5 to 10 people) that discusses 2 companies per meeting. The meetings should take place every three weeks for 1.5 hours with the names of the companies publicized in the meeting announcement. The goal is for all participants to be fully prepared so we can do brief introductions of the company followed by substantial collective analysis and debate.

The audience, we feel, was receptive to our above suggestion. One audience member suggested that we present one acquisition at our next meeting that is already a proven success. Raimondas and I agreed and I will present Gannett, a Buffet successful acquisition (as listed in next meeting's schedule).

We plan to slowly but surely increase the level of assumed knowledge in the next couple of meetings to arrive at the meeting format described above.

Feel free to contact Raimondas and me with further questions.