Shamrock Capital Advisors, Inc. has transmitted the following letter to Mr. A. Clinton Allen Chairman of the Board of Collectors Universe, Inc. on March 6, 2009:

The Shamrock Activist Value Fund (“SAVF”) currently owns 806,005 shares or 8.8% of Collectors Universe, Inc.’s outstanding common stock and strongly recommends that the Board of Directors immediately begin the process to sell the company.

We believe the company’s core business of providing value added authentication services is an attractive business and far more valuable than implied by its current stock price of $3.37 per share. Our analysis concludes that the intrinsic value of Collectors Universe is at least $7 per share. The Board has a fiduciary responsibility to maximize the value of the company and should attempt to realize that value through a transaction rather than attempting to provide oversight of the current flawed strategic direction of the business.

We believe the company is an attractive acquisition candidate and has a profile that would facilitate a transaction given the significant amount of cash and cash equivalents on the balance sheet as well as the company’s ability to generate positive cash flow. Further, there are significant costs the company is incurring as a public entity which could be eliminated as a result of a sale.

We certainly applaud and approve the company’s decision announced a few days ago to exit the business of authenticating and grading diamonds and colored gemstones. We believe this decision will help restore a certain amount of shareholder capital that was lost as a result of the Board’s decision to acquire the business in the first place.

As reflected in the current $3.37 share price, we do not believe investors have confidence or expect a return to the company’s initial public offering price of $21.82 ten years ago. During this period, the stock has underperformed its peer group and the Russell 2000 by a daunting amount. In our view, the current stock price is nothing more than a reflection of the Board’s inability to provide adequate oversight of the strategic planning process required to create long-term shareholder value. (more…)