1. Published on 8/10/2008, our SPDR Gold Trust (GLD) analysis combined three elements:

Hackett's Special Situation Report: SPDR Gold Trust

The following table summarizes how an investment in GLD performed from report publication (8/10/2008) until we recommended exiting the position (10/22/2010):

Period GLD S&P 500
08/10/2008 - 12/31/2008 2.5% -30.8%
01/01/2009 - 12/31/2009 24.8% 23.5%
01/01/2010 - 10/22/2010 19.4% 6.1%

2. Clearwater Paper Corp. is a straightforward special situation: value with a catalyst buried in the footnotes of the company's financial statements. The report is necessarily brief: we wrote the report during early July 2009 with the suspicion that when the company filed its second quarter 10-Q, the value would be prominently displayed on its balance sheet and income statement (this turned-out to be the case).

Hackett's Special Situation Report: Clearwater Paper Corp.

3. Published on 9/12/2011, Nakanishi, Inc. is a Joel Greenblatt special, i.e., a high return business available at a low multiple (8x trailing earnings, 2.6x trailing EBITDA). It was our third Japanese recommendation (the prior two were Japanese Yen 3/19/2007 and Circle K Sunkus 4/40/2011).

Absolute Values: Nakanishi, Inc.

Subsequently, we produced analyses on two more Japanese bargains: Fuji Machine Mfg. Co. Ltd. (6134 on the Nagoya Stock Exchange) and NGK Spark Plug Co. LTD. (5334 on the Tokyo Stock Exchange).

4. On 3/5/2012 we published a Thoughtful Skeptic covering AVX Corp. (AVX, $2.3 billion market capitalization) and Asahi Diamond Industrial Co. Ltd. (6140 on the Tokyo Stock Exchange, $765 million market capitalization). Though AVX screened cheap, we disqualified it on governance issues. In the case of Asahi Diamond, we had a great deal of difficulty getting management to answer our questions. We eventually did get all of our questions answered, but it required so much effort that we passed on the investment.

The Thoughtful Skeptic: AVX, Asahi

5. Published on 7/14/2011, our Citi Trends, Inc. analysis and subsequent investment was a mistake. After publication, we interviewed the retired merchant who built the business and realized the business was much less interesting than we had originally thought. We shared this information with clients in our 2011 year-end letter and notified clients in our 5/15/2012 Thoughtful Skeptic that we planned to sell our CTRN shares.

Absolute Values: Citi Trends, Inc.

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