Since trading close to $25 per share in early 2007, shares of the former Hansen Natural (NASDAQ: HANS) heir-apparent Jones Soda (NASDAQ: JSDA) have tanked. They closed on Friday at a stunning 75 cents per share, down more than 27% on the day.
On October 6th, the company reduced its workforce by 38% to 68 employees, adding that termination and severance expenses were not expected to be material. CEO Stephen Jones said that "Given the financial crisis we're in, you have to preserve cash. Cutting back people is a horrible thing to go through, but you do it as a result of strategy. And my strategy is to focus on the core of what Jones Soda is."
Jones (whose surname is a coincidence) told Fortune Small Business about an ambitious plan to focus on core strengths, reduce sales to discounters, and bring the company back from the brink. Maybe that will work but, either way, the stock looks interesting at its current price. With a market cap of about $20 million, Jones Soda had tangible shareholder's equity of about $27 million at the end of the second quarter -- including nearly $20 million in cash and short-term investments.
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