Coastal Contacts issues the financial report for the 2nd quarter in 2010

[Firmoo]

VANCOUVER, British Columbia, Jun 14, 2010 –The Canada’s online optical sales giant Coastal Contacts Inc announced today that in the not-so-far future, the sales of online eyeglasses will outnumber the sales of contatcs, in its financial results for the second fiscal quarter, period ended April 30, 2010. This is an exciting result in the time of economic downturn.

According to the report, sales of eyeglasses grew to $4.7 million (net of returns and cancellations) an increase of 136% over the same period in 2009. Sales in Canada grew 43% during the six months ended April 30, 2010. Sales in the United States grew 32% during the six months ended April 30, 2010 and 55% when excluding the effects of foreign exchange rate fluctuations.

Mr. Roger Hardy, Coastal’s President and CEO, commented, “Coastal continues to demonstrate organic growth in the contact lens category in key markets around the world, particularly in Canada and the United States. Our commitment to providing the highest level of customer service is resulting in a growing number of repeat orders and is increasing the life time value of our customer database. The eyeglasses category is experiencing rapid growth, again mainly in North America, and given the overall size of the global market, we believe has the potential to eventually become a larger business than Coastal’s contact lens business.

In approximately two years we have built a significant eyeglasses business that culminated in over 60,000 pairs of eyeglasses being shipped during the quarter and $4.7 million in sales, predominantly in North America. This quarter’s operating results are consistent with the financial model we used to establish our $20 million eyeglasses sales goal this year. We are significantly expanding the capacity of our North American eyeglasses facility to address consumer demand.”

Coastal noted the following operational highlights during the second fiscal quarter 2010:

-- Coastal reported that the Ministry of Health in British Columbia
modernized the regulations regarding the ability of consumers to
purchase contact lenses and eyeglasses on the Internet, making vision
care products more affordable and accessible.

-- Coastal secured a $5 million revolving line of credit from the Bank of
America, bringing the total cash accessible from existing credit
facilities to $8.5 million, none of which had been drawn at April 30,
2010.
Above results of sales by Coastal partially attribute to the deregulation of online optical sales by BC government which is the first regional government to announce the rules from government’s perspectives.

From: Online eyeglasses sales giant sells 60,000 pairs in 2nd quarter 2010

[TLG]

...over 60,000 pairs of eyeglasses being shipped during the quarter and $4.7 million in sales, predominantly in North America.

In another thread there's discussion about granting PD measurements; based on these numbers, we're just sticking our finger in the dike.

[Firmoo]

In another thread there's discussion about granting PD measurements; based on these numbers, we're just sticking our finger in the dike.

Oh, yes, the new legislation says:

* Requires British Columbia opticians and optometrists to include the pupillary distance measurement in spectacle prescriptions.

[drk]

I hope you are satisfied with yourself and your ilk, firmoo.

That giant sucking sound your company makes is nothing more than the short-selling of expert health care; a sumptuous feast on your seed corn; the inflation of a bubble.

What will happen in a country with such a short-sighted governing principle as to allow concentration of power in the hands of a money-grubbing Minister is that you are going to choke the ability of skilled opticians to make a living.

No one is due a free lunch from the government (although a vast number of union workers and government workers and even defense contractors make their living at its whim), but there are economic consequenses to governmental actions.

In a radically free market, there would never have been licensed opticians in the first place--caveat emptor, and the may the most superb optician win in the economic jungle.

But at some point the decision was made to regulate vision-correcting devices and to build a caste of well-trained professionals to deliver them.

Now, your minister, for filthy lucre, has turned from that approach. I might respect him if he did it for some economic or governing principle, but we know it's base corruption.

Now it's open optical season in BC, Canada, and North America. Any Tom, Dick, or Jane can make, sell, and "dispense" glasses. Guys like you, Firmoo, who seem to not have any professional qualifications whatsoever can get in on the game.

What's the first thing to go? Professional care; which makes sense, seeing no professionals are involved. I could easily dispense glasses at a much lower margin, if I fire myself and my staff.

But, you see, I'm the one people turn to when they can't "do-it-themselves". I've dedicated my career to it, and have invested much time, money, and resources to serve you.

I hope my counterparts in BC can make a decent living and survive to serve the people of your province, but I doubt it. While the Health Minister may not have specifically thought about the destruction of vision care professionals, the unintended consequences of his shockingly stupid decision will haunt your province.

You all can come south for professional care, at least for awhile. We're busy fighting off commerical opticals and the unregulated internet down here.

[Chris Ryser]

I hope you are satisfied with yourself and your ilk, firmoo.

That giant sucking sound your company makes is nothing more than the short-selling of expert health care; a sumptuous feast on your seed corn; the inflation of a bubble.


..............................You all can come south for professional care, at least for awhile. We're busy fighting off commerical opticals and the unregulated internet down here.

Very rough drk.....................and wrong. Firmoo has nothing to do with Coastal Contacts in Vancouver.

He owns Firmoo Optical at http://firmoo.com which is according to website traffic numbers, according to Alexa of 58,937 (which is very close to Luxottica), about the 3rd largest on-line optical in the USA. According to the area code 718 located in New York, which means he is already south, so he is part of your southern atmosphere.

You addressed him as the Canadian online company that is just waiting to be bought up by the biggest optical Anaconda.

[drk]

I think I'm being pretty easy on him.

Why does "firmoo" gloatingly post of a competitor's increase in marketshare?

If there's any other reason than to troll, I'm open to suggestion.

[uncut]

@Chris: I tend to agree with drk. I would not tend to give cred. to anyone who's LOCATION says Calgary Canada, is bouncing off a server there just like the trolls fromZZZZNNNNEEEE, when they post locally.

On, the other hand Al Capone hung out in tunnels in Moose Jaw, Sask, for a while, and Firmoo might be trying to avoid creditors, or bent noses, or the draft, or he might just like cowboys, and or has family in Calgary.

[Firmoo]

Same PD issue, UK has the completely different solution. This is an earlier news report, in March 2010, just for comparison.
From: UK GOC dismiss Metsuki’s PD request

UK’s online optical store Metruki’s request for optometrists’ providing PD to patients was dismissed by the General Optical Council. This sounds that UK’s regulatory rules on online optical has a long way to go.

Optometry Scotland and the Association of British Dispensing Opticians (ABDO) have hit out at online frame retailer Metsuki’s campaign to require pupillary distance (PD) measurements to be included on prescriptions. Metsuki wrote to the Office of Fair Trading about the issue and its campaign has received the support of MP Charles Kennedy (News 19.03.10).

However, ADBO president Barry Duncan said it would not be wise for the General Optical Council (GOC) to sanction PD measurements to be provided with prescriptions as it would jeopardise patient care.

‘It’s important that people understand that the dispensing of spectacles is a highly skilled and complex competency,’ he told Optician. Duncan added that PD measurement is only one of a number of equally important measurements that go towards accurate dispensing ‘and the PD alone can’t allow for comprehensive dispensing’. More

AND THIS STORY:

Iowa EyeDoc talks of shipping Eyeglasses By Ira.

This past-president of the Iowa Optometric Association talking of using FedEx Express to ship glasses around the state of Iowa makes me wonder what the difference is between that happening in Iowa and it happening across state, country borders -- using the same FedEx services.

I can't be sure of this optometrist's stance on "online eyeglasses", but generally I've seen that optometrists seem to have slightly fewer issues with it than the opticians -- which really shouldn't be a surprise as opticians have the most to lose.

I realize that this whole "BrownBailout" campaign is propaganda from FedEx, but I found his comments relevant to the online eyeglasses market.

[drk]

The issue is not simply adjustment of spectacles at dispense, "firmoo", although it is a very important aspect.

Now, the issue is deregulation of vision care, in toto. Bring your camera to my office, and I guarantee my soundbites will be a little less manipulable.

[DragonLensmanWV]

Why isn't he removed as a spammer?

[Chris Ryser]

Why isn't he removed as a spammer?

I believe we should listen to the other side of the fence.

Firnoo is the only one that talks and writes, our largest corporation that now controls the second largest on line optical still has the bait out to win over all the opticians and optometrist's they can.