Bebida Beverage Company (BBDA)

[PennyMann]

$BBDA Due Diligence

By PennyMann 4/2/14

Industry: Relaxation beverages and bottles water.

Summary: Lotto play with signs of company progress.  Investors are waiting for dilution to stop is consensus.   Company progress is translating into results slowly, such as via CEO signed unaudited financials, year over year Revenue increase, and PRs alerting shareholders to company progress.  CEO decrease in negative personal publicity could have a big effect on shareholder value.

Pros
+ Distribution is expanding for existing products
+ Marketing efforts are increasing via radio, magazine, and special events for new and existing products
+ Revenue has been increasing year over year
+ Koma Unwind is a market leading product in the relaxation beverage market
+ New products are in development such as Cheech and Chong Nice Dreams ice cream with hemp

Cons
- 9.8 billion a/s with o/s increasing weekly = dilution
- Unaudited financials that don't appear complete
- CEO shady past and history of not following through with promises made via PRs or social media
- Failed entry attempts for new and existing products

Contents

Search by ( ) reference thought out post. This post is rather lengthy so this table contents will hopefully aid in focused reading.

(AA)Fundamentals
(BB)Technical Analysis
(B1)PennyMann's TA
(B2)Momo Indicators
(B3)Barchart
(B4)American Bulls
(CC)News
(C1)Recent PRs
(C2)iHub ticker board
(DD)Industry
(EE)Promotions
(F1)3/6/14 DEWM Comparison
(F2)Monster comparison with BBDA
(F3)3/6/14 BBDA positive changes
(GG)Shareholder Concerns
(G1)3/6/14 PennyMann Cash Flow Analysis
(G2)3/26/14 PennyMann reply to BW stole the $1.8 million estimated missing cash
(G3)WhiteFish's 3/26/14 cash missing reply
(G4)2009 to 2013 Dilution
(G5)PennyMann's 3/11/14 2014 Dilution discussion
(G6)PennyMann's Toxic Debt Financing discussion
(G7)PennyMann's 3/11/14 Revenue discussion
(G8)PennyMann's 3/12/14 Short Selling discussion
(G9)crwmbrnmb12's iHub post #254834 of BBDA's cost discussion
(G10)PennyMann BBDA and CEO social media usage 3/27/14 post
(G11)lucky day's iHub post 3/28/14 re: Nice Dreams ice cream
(G12)Short Selling Discussion PennyMann 4/7/14
(G13)PennyMann's Online KU/BeBevCo product purchase
(G14)FDA Letter to DEWM Regarding Melatonin Usage and PennyMann reply
(HH)OlafKjelldsen's iHub old DD post 2/22/12
(II)PennyMann's 3/10/14 JSJ Trading Group Rival message: (hypothetical analysis of short sellers point of view)

*BW is referenced often in regards to BBDA. BW = Brian Weber, BBDA CEO. Daisy is a BBDA officer, and business partner with BW in other companies, not BW's wife.

(AA)Fundamentals:
As of 3/18/14

Whaaa? BBDA has "fundamentals?" Why yes, the CEO signs the OTC filings and provides financial info that is not audited. Based on the info provided here's a summary.

+ Pink Current; SEC filings 10/29/08 was last; OTC filings to 12/31/13
+ Share structure (SS- OTCMarkets): 9.8b a/s; 3.9b o/s; 3.8b float (see more SS discussion through out DD)
+ 52 week: .0006 to .0065
Last OTC filing stats: 12/31/13
+ Assets: 1.2m; 1.2m current
Inventory capitalization
+ Liabilities: 614k; 614k current
+ Equity: 587k
+ Revenue: 2.0m
+ Expense: 2.0m; 0 interest
+ Net income: 17k
+ Cash: 123k; mainly from AR collections and stock issuance
OTC filings

(BB)Technical Analysis (6-month)

Many liken chart analysis, also called technical analysis (TA), to tea leaf reading. Yet, many traders have proven TA to be reliable on the short-term given proper analysis and other factors such as news, filings, and promotions for buying stock are considered.

(B1)PennyMann's TA- 7/10 Sell short-term

As of 3/12/14- I'm happy to update as I have time.

- Line chart: 6 month downtrend, until the most recent month uptrend, and now declining.
+ PPS broke the 50MA resistance 2/10/14, and waiting for the 50MA to cross the 200MA for extremely bullish signal.  + PPS broke the 8MA on 2/12/14 with cross over the 32MA on 2/18/14. 8MA is still above the 32MA.
- Parabolic SAR (PSAR): Signaling sell the past two days.
+ Bollinger Bands (BB): Buy signal but candles are about to fall below the neutral line from the buy channel.
- Ichimoku Cloud: Forecasting seller pressure and downward pps in the short-term, but mid-term is estimating a surprising buyer possibility.
- Accumulation/Distribution: Accumulation the past month 6 months in a downtrend; would take a sustained uptrend to get a northern movement line.
- On Balance Volume (OBV): Signaling sell and dropping.  - Money Flow Index (MFI): 55 Buy; downward trending the past week so watch for 50 cross below (sell signal).
- Chaiken Money Flow (CMF): Signaling slight seller pressure at -.003. - Direction Movement Index (DMI) w/ADX:
-DM is above the +DM signaling sell; ADX is 27 and falling signaling weak trend.
+ Commodity Channel Index (CCI): 14 signaling Buy but falling.
- Moving Average Convergence/Divergence (MACD): Is signaling sell in overbought territory, and dropping.
+ Relative Strength Index (RSI): 55 Buy; recent buy signal the past month. - Rate of Change (ROC): 19% signaling weak buy and falling.

(B2)Momo indicators:
+ Volume: Increasing the past 6 months; probably due to dilution; past couple of weeks volume is decreasing from volume spike on 2/20-2/21/14.
+ L2: Mixed Bids and Asks
+ iHub board is mainly long-term sell sentiment from daily bashing.
+ Short interest volume: 0-53%
OTC Short Report- not a short selling barometer but an overall selling barometer






(B3)Barchart:

Barchart offers many trader/investor reference info. Below is TA opinions.

3/12/14 20% Buy; 20b/25b/67b s/m/l
Barchart

(B4)American Bulls:

American Bulls focuses on the popular candlestick chart pattern analysis.

4/2/14 Quit
AB doesn't track most sub tickers

(CC)News:
QuoteMedia ticker news QuoteMedia offers other BBDA articles  besides PRs

BeBevCo Website- store locator and PR history

Kudzu Agency

DDNotesMaker: Not in buzz cloud.
Notes

Koma Unwind Store Locator on Facebook page also.

(C1)PRs Issued Recently

3/28/14 BeBevCo Continues To Draw Media Attention With FOX 46 Feature: "Television, Internet and Magazines Add To Momentum Impacting Revenues"

FOX 46 Interview: http://www.myfoxcarolinas.com/story/25066840/statesville-company-bringing-nice-dreams-to-the-masses

3/24/14 BeBevCo Serves up Nice Dreams for Shareholders and Sweet Tooth's with Cheech and Chong-branded Relaxation Ice Cream

[url]http://app.quotemedia.com/quotetools/newsStoryPopup.go?storyId=66514053&topic=BBDA&symbology=null&cp=null&webmasterId=500[url][tag]3/19/14 BeBevCo M mecaps Q1 for Shareholders in Preparation for Major Licensing Announcement For Subsidiary[/tag]

3/13/14 Company Continues To Promote KOMA Unwind Relaxation Drink

3/4/14 Ice Cream to be Enhanced With Natural Supplements And Hemp

2/27/14 KOMA Unwind Relaxation drink to be featured on The Bob and Sheri show

Bebevco.com
107.9 website
YouTube

Radio listing:
WQNR 99.9 FM Montgomery ALhttp://www.katefm.com/

KQSR 100.9 FM Yuma AZhttp://www.kqsrfm.com/

KMHX 104.9 FM Santa Rosa CAhttp://www.mix1049fm.com/

KMXY 104.3 FM Grand Junction COhttp://www.mix1043fm.com/

WVVE 100.1 FM Panama City Beach FLhttp://www.v100pcb.com

WXCV 95.3 FM Homosassa Springs FLhttp://www.citrus953.com/Homepage/9283494

WQPW 95.7 FM Valdosta GAhttp://valdostatoday.com/957TheMix.html

KDAT 104.5 FM Cedar Rapids IAhttp://www.kdat.com/

WMOI 97.7 FM Monmouth ILhttp://www.977wmoi.com/

WXXC 106.9 FM Marion INhttp://www.1069wxxc.com/

KZRS 107.9 FM Great Bend KShttp://greatbendradio.com/

WGKS 96.9 FM Lexington KYhttp://www.wgks.com/

WKKQ 96.1 FM Barbourville KYhttp://www.wkkqfm.com

WOVO 105.3 FM Glasgow KYhttp://www.my1053.com/

WTTL 106.9 FM Madisonville KYhttp://www.wttlradio.com/

WKSQ 94.5 FM Elsworth/Bangor MEhttp://www.kissfm.net/

WQSS 102.5 FM Camden/Bangor MEhttp://www.kissfm.net/

WQSK 97.5 FM Madison/Bangor MEhttp://www.kissfm.net/

WQHR 96.1 FM Presque Isle MEhttp://q961.com/

WBXX 104.9 FM Battle Creek MIhttp://www.mix1049online.com/

WQBX 104.9 FM Alma MI http://www.wqbx.biz/

WMIS 92.1 FM Bemidji MNhttp://www.wmisfm.com/index.php

KGRC 92.9 FM Hannibal MOhttp://www.real929.com/

WGNI 102.7 FM Wilmington NChttp://www.wgni.com/

WLNK 107.9 FM Charlotte NChttp://www.1079thelink.com/

WQSM 98.1 FM Fayetteville NChttp://www.q98fm.com/

WRHD 94.3 FM Greenville NChttp://www.star943.com/

KIZZ 93.7 FM Minot NDhttp://www.ksks.com/pages/main

KLIQ 94.5 FM Lincoln/Hastings NEhttp://kliqfm.com/

WCTW 98.5 FM Hudson NYhttp://www.985thecat.com/main.html

WDOH 107.1 FM Lima OHhttp://www.wdoh.com/

WWJM 105.9 FM New Lexington OHhttp://www.wwjm.com/

KLMY 99.7 FM Astoria ORhttp://www.clammy997.com

KODZ 99.1 FM Eugene ORhttp://www.kool991.com/

WSNW 103.3/1150 FM/AM Seneca SChttp://wsnwradio.com

KBFO 106.7 FM Aberdeen SDhttp://www.hubcityradio.com/point

WHHM 107.7 FM Jackson TNhttp://mystar1077.com/

WJRV 106.1 FM Knoxville TNhttp://www.river106.com

KBCT 94.5 FM Waco TX http://www.kbct.com/

WBOP 95.5 FM Buffalo Gap VAhttp://www.955wbop.com/

WNMX 100.7 FM Radford VAhttp://www.mix100fm.com/index.php

WOLD 102.5 FM Marion VAhttp://www.1025therenegade.com

WLXR 104.9 FM Onalaska WIhttp://www.wlxr.com/

In case anyone needed to know some of the US stations to listen to Bob and Sheri. Also you can listen Live over the internet, IHeart Radio App and other apps.

2/20/14 KOMA Unwind Relaxation Drink featured Friday and Saturday at World Center of Racing

2/19/14 KOMA Unwind Relaxation Drink continues to push west

2/18/14 KOMA Unwind Relaxation Drink Featured In Oprah Winfrey's "O" Magazine: BeBevCo Looking Forward to Famous Oprah Effect for Flagship Product

Here's the article: http://bebevco.com/koma-unwind-in-oprah-magazine/

2/4/14 BeBevCo Preparing For Multiple February Events: Company Continues To Promote KOMA Unwind Relaxation Drink

103.7 thanked KOMA Unwind RelaxationBeverage for participation at the Carolina Women's Expo. Read more here:

http://events.wsocfm.cbslocal.com/charlotte_nc/events/carolina-womens-expo-/E0-001-065767247-7

1/28/14 BeBevCo Adds Another Distributor To Kick Off New Year: KOMA Unwind Relaxation Drink Distribution Expands Into 16 Counties In Panhandle of Florida

1/21/14 BeBevCo CEO To Speak At Global Dairy Congress

The upcoming 8th Annual Dairy Congress should be a great opportunity for BBDA to discuss dairy possibilities, such as ice cream, and to network with larger companies to discuss relaxation industry products.

Last year's event had some high profile names.

http://www.zenithinternational.com/events/104

(C2)iHub board:
Many state the iHub ticker boards don't sway trader decisions. Ok...yet here we are posting and reading...

BBDA Board

Summary SS info. BBDA history. Partnerships, distribution expansion, industry marketing locally and globally, and company progress. TA charts.

Overall sentiment has been mainly upset investors and those mad at CEO

(DD)Industry
Beverage Industry article database for relaxation beverage industry
IBIS World Research- sorry, don't have a few hundred $ to get the full report.
Beverage Marketing Corporation report- sorry, don't have $995 for the full report.
WallStreet Journal 10/1/13 article
International Business Times 8/27/13 article
Restaurant Hospitality 6/20/13 article
Bloomberg BusinessWeek 6/6/13 article

(EE) Promos
Stock promotions can greatly effect a stock's price. Trying to guess the extent and when the movement will occur can be tough...

Hotstocked:
7/14/13

Stock Promoters: 2/14' through 3/14'

(F1)3/6/14 DEWM Comparison

The discussion of other tickers besides BBDA is allowed if comparisons are made. PennyMann is not endorsing tickers in his analysis.

While BBDA's financial filings presentation and missing cash is discussed, I thought I'd compare BBDA with DEWM financially and via SS.

Share structure (SS)
BBDA
9.8 billion a/s
3.9 billion o/s

DEWM
4.5 billion a/s (2/5/14 company MarketWire PR)
2.3 billion o/s (call the TA listed at OTCMarkets)

BBDA has 2.2 times more a/s and 1.7 times more o/s than DEWM.

PPS as of 3/6/14:
BBDA $.0026
DEWM $.0128

BBDA's pps is 5 times less than DEWM. So far the SS is pointing to more room for BBDA's pps, because IMO BBDA's pps should be 2.9 times less than DEWM based on SS. But the BBDA SS screams cry, "SS is so high!!!"

Financials
DEWM has audited financials with a QB status. BBDA had unaudited financials with a Pink Current status.

BBDA 12 months ended (calculated from 4 filings)
3/30/13
Assets $928k
Liabilities $167k
Equity $761k
Revenue $1.6m
Expense $1.1m
Net profit/(loss) $507k
Cash $212k

6/30/13
Assets $1.4m
Liabilities $269k
Equity $1.1m
Revenue $2.0m
Expense $1.7m
Net profit/(loss) $296k
Cash $268k

9/30/13
Assets $1.5m
Liabilities $351k
Equity $1.2m
Revenue $2.2m
Expense $2.1m
Net profit/(loss) $70k
Cash $103k

12/31/13
Assets $1.2m
Liabilities $614k
Equity $606k
Revenue $2.0m
Expense $2.0m
Net profit/(loss) $17k
Cash $124k

12/31/13 Totals
Assets $1.2m
Liabilities $614k
Equity $606k
Revenue $7.8m
Expense $6.9m
Net profit/(loss) $892k
Cash $124k

$1.4 million cash missing per WhiteFish's calculations as of 2013 end. I bet DEWM wished it had the cash flow like BBDA to have this much possibly missing to account for in their financials IMO.

DEWM 9 months ended (9/30/13 10-Q)
Assets $108k
Liabilities $1.1m
Equity ($998k) with $4.5m APIC and ($6.3m)
Revenue $232k
Expense $1.7m
Net profit/(loss) ($1.5m)
Cash $12k

12/31/13 estimated times 3 divided by 4 (filing isn't made yet)
Assets $108k
Liabilities $1.1m
Equity ($988k)
Revenue $309k
Expense $2.3m
Net profit/(loss) ($2m)
Cash $16k

Financial compares with BBDA 12/31/13 info and DEWM estimated 12/31/13 info from 9/30/13 filings
BBDA has 25.2 times more Revenue than DEWM
BBDA has 3 times the Expense than DEWM
BBDA is profitable and DEWM is not.
BBDA has 11.2 times more Assets than DEWM
BBDA has almost half the Debt than DEWM
BBDA has positive Equity and DEWM does not

All of these comparisons should be thrown out the window because BBDA's financials are unaudited? Filings are current per OTC Markets requirements.

BBDA 2013 OTCMarkets filings

DEWM 2013 SEC filings

(F2)Monster comparison with BBDA

Monster Beverages used to be Hansen's Juices. Here's some company MNST History. MNST was its own company in the 1997 IPO, but prior to that Hansen's had declared bankruptcy in 1998 before reorganizing and having great spinoff companies like MNST.

Let's compare BBDA's recent 12/31/13 annual report with Hansen's 3/31/96 10-K at SEC filings (oldest I could find), which is prior to Monster's existence as it's own company:

BBDA 12/31/13 (unaudited):

Revenue $2 million
Net profit $17 thousand
Total Assets $1.2 million
Total Liabilities $613 thousand
Total Equity $607 thousand

Hansen Natural 3/31/96 (audited)
Revenue $7.4 million
Net profit $73 thousand
Total Assets $17.5 million (includes $11 million from intangible assets)
Total Liabilities $9.1 million
Total Equity $8.4 million

So BBDA's most recent profit of $18k looks mighty close to Hansen Natural's $73k, back when Hansen's pps was below $1. Hansen was in business since 1930 and by 1996 it had 10-17 times the assets and debt, 4 times the Revenue, and about 4 times the net profit than BBDA has today from being in business since 2008.

Hansen, and now MNST, have had there share of legal issues. From bankruptcy, corn syrup usage, to today's legal inquiry about psychedelic packaging concerns (do Google searches) Hansen and now Monster have had their issues as BBDA does today.

4/8/14 PennyMann's KU versus Monster Energy on Amazon Reviews and eBay:

What is up with the poor comparisons?

Monster Energy Drink is showing 4.5 out of 5 stars with 26 reviews on Amazon

Koma Unwind is showing 5 out of 5 stars with 22 reviews on Amazon.

What's next? Amazon consumers suck so reviews don't matter? Lol.

I don't see a single shred of evidence to substantiate that eBay sellers have given up on KU...

I see the US and the UK is selling KU shots:

http://m.ebay.com/sch/i.html?_nkw=Koma+unwind&isNewKw=1&_pgn=1&epp=24&itemId=&isRefine=true&mfs=GOCLK&acimp=0&sqp=koma+unwind&trksid=p2056088.m2428.l1313.TR0.TRC0.Xkoma+unwind

http://m.ebay.co.uk/itm/230932296317

eBay appears to have low selling of Monster Energy also...

Google search will substantiate my Monster discussion...

(F3)3/6/14 BBDA positive changes

Personally, I try to remove emotion from my trading. BBDA has its ups and downs but my goal is to make a ROI of my traded shares. If I'm down 70% and see an opportunity to make the loss back at a later date then why not? I must have traded the stock for a reason to begin with.

If I invested in BBDA back in 2011 at $1.00 and it went to $.0007 then I'd chalk up the loss. I'd re-evaluate why I invested at a $1.00 in the first place, look at why it's at $.0007, and probably conclude from my new wealth of data that maybe the bottom is in. Maybe the unaudited financials were there at $1.00. Maybe the a/s was complained about back at that $1.00 pps. What has changed?

What has changed:

+ A new product is coming- Ice Cream.
Counter: I no likey this idea. The KU should get new flavors.

+ New distributors are on board to move the current products.
Counter: These distributers can't be verified. Even the prior distributors couldn't get the job of distributing done. The filings low about Revenue. KU sucks and doesn't sell.

+ New marketing mediums are being utilized.
Counter: Women shows are dumb. NASCAR fans don't care about relaxing after watching adrenaline producing excitement- they prefer beer to relax. O Magazine was about competitors also- all relaxation product sux.

+ Revenue has increased since 2011.
Counter. The 2013 Q4 showed a slight revenue decrease- pure sign KU isn't selling.

Hindsight indeed. Looking to the future is difficult when emotion clouds your mind from prior loss. Painfully slow pps declined that caused engagement deep within. I don't know what I'd do if I had those emotions. I'd probably miss the changing of the wind and not only have that big loss but also miss the opportunity due gains. Makes total sense trading with emotions. Where do I sign up?

(GG)Shareholder Concerns
Here's a list of concerns noted so far with dash (-) bullets. Plus (+) sign bullets represent a reply or location of reply to a concern. Not all concerns have been researched enough by myself to place evidence or comments. Hopefully shareholders can unite and discuss these with management with follow up.

- Authorized shares were increased to 9.8 billion without company explanation.
+ An e-mail was sent to a shareholder, and discussed in this board, explaining $5 million was needed for European expansion. I have not seen the actual e-mail but will follow up once more info is available.

- Doing business in NC illegally.

- Diluting to a foreign toxic lender: JSJ Investments.
+ See discussion below for number of shares issued to JSJ Investments so far.

- Revenue is decreasing because 4Q 2013 went down $200k.
+ 3 years of filings shows differently. See
below for discussion point.

- The CEO's main priority is racing not marketing BeBevCo products.
+ Recent PRs show new marketing avenues being leveraged, and new products possibly coming.  I hope to add a PR section with verifiable links as evidence.

- PRs issued are false, promises made haven't occurred, or facts are unverifiable.
+ This is not 100% true.  See my comment above about PRs.

- Facebook likes don't matter.
+ 35k likes and many posting requests for more product info. Kona Unwind FB

- Short selling isn't occurring with BBDA because the account value requirements are too high.
+ See the discussion below regarding short selling.

(G1)3/6/14 PennyMann Cash Flow Analysis:

I have some questions/comments for the cash flow analysis:

- Where did the $932k cost capitalization figure come from in NoPinkScams 2013 Annual analysis? I see $177k as of 12/31/13, which is odd since it seemed to be increasing each quarter before dropping in the 4th quarter.

- Equity is all over the place with it appearing and not appearing. Not sure how the Net Cash from Financing Activities could be accurately estimated in NoPinkScams analysis as a result?

Note: The BBDA Cash Flow Statement sections don't add up to the net cash flows from operating activities total. There is no ending cash balance to compare to the balance sheet cash balance, or the balance just don't match.

Note: Where are the fixed assets? Fully depreciated already? WhiteFish has asked this, and the info would effect the investing activities section.

Why I stated operating cash flows was UNDERstated:

The BBDA 12/31/13 Cash Flow Statement shows net operating cash flows total as $422,810 while NoPinkScams shows $496,111. Now, the BBDA Cash Flow Statement doesn't reflect changes in assets but instead the current periods balances, and the signs may be wrong, so the total may be incorrect there.

The BBDA 12/31/13 Cash Flow Statement shows $0 net cash flow from financing activities while NoPinkScams shows $1,182,194. Another UNDERstatement of cash flows.

We could assume Revenue is misstated (such as way too high) but then every value might come into question as well. How do we know any asset or liability value is accurate? I already have doubts in the equity section, which is important for calculating the net cash flows from financing section. The whole estimated cash flow statements done to date would change if the values in the filings weren't accurate.

The capitalization from stock would be a balance sheet item, no idea what it really is, though currently showing in both the income statement and balance sheet. That would be an equity related item that you wouldn't just add up quarter by quarter like an income statement revenue or expense.

I'm not understanding the need to recreate the Cash Flow Statement when so many specific financial items are in contention as to proper location within the financials, what some items are, what items are missing, and if values are accurate. It's a bunch of guesswork better sorted out by auditors IMO.

I'm adding the pics of the cash flow statements calculated, post references and filings info for viewer convenience.

WhiteFish post #251348



NoPinkScams post #253239



BBDA 2012 Annual and 2013 Filings
12/31/12 Annual
3/31/13 Quarterly
6/30/13 Quarterly
9/30/13 Quarterly
12/31/13 Annual

(G2)3/26/14 PennyMann reply to BW stole the $1.8 million estimated missing cash:

I have no theory about the alleged missing cash.

I agree audited financials will better clarify the estimated $1.8 million missing cash discussed the past few months.

Audited financials would not make the CEO disclose compensation received. The CEO compensation might appear as a G&A expense, labor expense, or the company could make a line that shows officer compensation, but it won't be required by GAAP.

Now, it would help BW to "save face" if he disclosed his compensation. Ooo by the way, prior BBDA filings have shown BW being issued common shares for his compensation for service rendered. Comb the filings and you might see the 10 million shares issued a year or so ago. I lack the time right now to go trough each filing to determine the shares issued. That may point to an idea of what BW thinks his CEO roles are worth. Going off an estimated cash flow statement, alleging cash is missing, and then stating BW stole the cash with reasoning for doing so as his compensation is misleading and not the way to estimate BW's compensation IMO.

Let's take a look at DEWM's 9/30/13 10-Q. Hmmm, the Income Statement, which states unaudited by the way, doesn't disclose the DEWM compensation. The General and Administrative expense of $1.5 million may hold the CEO compensation according to US GAAP. *DEWM does have audit FY 2012 financials, and FY 2013 fins would be audited when the FY ends.

DEWM's discussion is allowed by iHub posting TOS for the BBDA board because I'm making financial statement comparisons. I'm not endorsing DEWM in any way except for BBDA comparisons.

(G3)WhiteFish's 3/26/14 cash missing reply

Seems to be some major confusion. Maybe Penny is referring to the fact BBDA would not qualify as a cash-basis taxpayer due to the gross receipts test and that its business activity is not an eligible business. BBDA would be required to file on an accrual basis. Now with that being said, BBDA would also have to complete schedules L, M1 and M2 of Form 1120. These schedules, if prepared using BBDA's financials, would be unbalanced for 2013 to the tune of $1.8MM. If such a return were to be filed, it would be flagged for audit. First thing the IRS would examine is cash. This would lead to very bad things for BW as the IRS agents would then tip off the FBI and SEC as they communicate findings. I also suspect BW has personally not filed 5471's and FBARs for his interests in the Euro Corp and Polishbank accounts, all felonies if not voluntarily disclosed.

Quote PennMann:

"The IRS isn't concerned about possible missing company cash in a filing but instead it's missing taxes due. Taxes due are based on Revenue, expenses, tax deductions, the bottom line of profit/loss, etc."

That statement is very wrong. Here is a list of MAJOR items the IRS would be concerned with other than just "Revenue, expenses, taxdeductions, the bottom line of profit/loss,":

- Failures to report interests in foreign corporations
- Failures to report interests in foreign bank accounts
- Shares issued at less than a FMV
- Deductions NOT taken in order to inflate company performance
- The increase of 198MM preferred shares. This would be a taxable event to the recipient. I suspect they were issues to BW and co since there were no disclosed of preferred shares sold on the financials. Wonder if BW recognized this award on his taxes? Talking hundreds of thousands if not millions.
- Failures to report compensation (cash or property) on FOrms W2s or 1099s.
- Failures to report fixed assets and related debts

I can literally go on for another hour.

(G4)2009 to 2013 Dilution
The o/s reached 6,394,877,549 by 9/30/09
9/30/09 filing

A 1000 to 1 reverse stock split occurred after 5 months of stock no bid
12/31/10 filing. o/s are 21,693,437. Brian Weber is issued 10 million restricted shares at $.01 and Daisy Weber 9 million restricted shares at $.01 as compensation.

80,793,437 o/s and 60,284,062 float per the 3/31/11 filings. 6.1 million and 15 million shares were issued to settle 2 year unknown debt.

346,264,025 o/s and 258,264,025 float per the 6/30/11 filings. 54 million shares issued in lieu of cash. 25 million shares issued for deferred compensation. 17,970,588 shares issued to settle debt. 126,500,000 issued for capitalization for growth and new building payments. 42 million shares held for deferred compensation guarantees equity fund.

483,814,778 o/s and 397,814,778 float per the 9/30/11 filing.

846,111,020 o/s and 1 billion a/s per the 12/31/11 filing

1,499,111,020 o/s per the 3/31/12 filing

2,249,111,020 o/s per the 6/30/12 filing

2,300,000,000 o/s per the 9/30/12 filing

2,300,000,000 o/s and 2.5 billion a/s per the 12/31/12 filing
91,555,000 shares issued for services.
123,674,272 shares issued for debt reduction.
42,000,000 shares held for deferred compensation in equity fund.
230,072,000 shares issued for capitalization.
19,000,000 shares retired from deferred compensation issuance.
8,550,000 shares issued for consulting and marketing.

2,399,000,000 o/s and 2.5 billion a/s per the 3/31/13 filing
999,888,980 shares issued for capitalization to Q1 2013.

2,581,000,000 o/s and 2.7 billion a/s per the 6/30/13 filing
204,000,000 shares issued for capitalization $206,000 Q2 2013. 10 million shares issued for marketing and consulting Q2 2013.

2,863,000,000 o/s and 2,995,000,000 a/s per the 9/30/13 filing
282,000,000 shares issued for capitalization $363,000 JSJ Investments, but shows event is debt acquisition/settlement.

3,342,784,000 o/s and 4 billion a/s per the 12/31/13 filing
447,784,000 shares issued for debt reduction $177,000 JSJ Investments.

(G5)PennyMann's 3/11/14 2014 Dilution discussion:

Michael Ajzenman with Madison Stock Transfer confirmed the following share structure info 3/11/14:

- 2/27/14 a/s 9.8b and o/s 4,519,976,772
- 3/11/14 a/s 9.8b and o/s 4,702,424,673

8 trading day change: 182,974,900

Madison Stock Transfer
[e-mail]

718-627-4453

Here's the trading volume from  OTCShortReport BBDA. The site may not show valid short selling info but it gives historical trading volume.

Trading volume by day:
2/28/14 284,581,247
3/3/14 111,680,809
3/4/14 142,789,403
3/5/14 54,845,582
3/6/14 53,243,525
3/7/14 175,891,649
3/10/14 58,081,394
3/11/14 tbd: at 40,764,846 as of this post

Total (as of post): 921,878,455
8 trading day o/s change as a % of trading volume: 19.9%

Trading pps ranges, courtesy of BigCharts.Marketwatch.com:

2/28/14 $.0024-$.0036
3/3/14 $.0029-$.0035
3/4/14 $.0025-$.0034
3/5/14 $.0017-$.0032
3/6/14 $.0025-$.0028
3/7/14 $.002-$.0028
3/10/14 $.002-$.0028
3/11/14 tbd: $.0019-$.0028 as of this post

Now, we are to believe it is all dilution hitting the BBDA trading volume. Heavy dilution is being cried. The pps highs each day are falling every day since 2/28/14. The pps lows each day are fluctuating dramatically. I don't have the per pps share volume so inferences must be made. Those who have "invested" for the long-term as of 2/28/14 are losing as the pps highs are falling. Short sellers selling high (borrowing) and buying low (covering) would be making out like bandits. Flippers buying low and selling high would also be doing well.

182,974,900 shares have entered into the market since 2/28/14. I'll take the average pps of $.00265 since then times that outstanding share change to get $484,883 in stock value possibly obtained by BBDA (rough estimate here given my discussion so far).

That leaves 738,903,555 in trading volume. No one can tell buys versus sells with the data available right? Well, I'll try to extrapolate based on "short volume" from OTCShortReport as % of possible sell volume. The same data available by SEC's SHO reports.

2/28/14 33.62% x trading volume = 95,676,215
3/3/14 32.66% = 36,474,952
3/4/13 38.74% = 55,316,615
3/5/14 25.68% = 14,084,345
3/6/14 38.46% = 20,477,460
3/7/14 30.69% = 53,981,147
3/10/14 15.10% = 8,770,290
Possible sell volume share total = 284,781,024 x pps average $.0265 = $754,770

This "possible sell volume" represents trades categorized as sells or short sells. We can't pin point exact values of the two using data provided to traders at this time. Some would even argue there are some true buys in that estimated sell or short sell volume.

So, we have 182,974,900 dilution from 2/28/14 to 3/10/14. We have about 284,782,024 shares possibly sells and short sales. That's about 467,755,925 shares possibly accounted for. We know trading volume was 921,878,455 as of this post. That's about 50% of trading volume possibly accounted for. Some could argue the remaining 454,122,530 is possibly buy volume.

Many factors are at play with BBDA's pps. My analysis is mainly hypothetical due to not having actual buy versus sell data. I'm open to arguments. I've never seen anyone attempt this kind of analysis.

(G6)PennyMann's Toxic Debt Financing discussion

JSJ Investments is a known toxic debt financier in stocks such as ELRA, BRGO, and REDG.

The following shares have been issued to JSJ Investments by BBDA to settle debt/obtain funds.

196 million common shares (not sure if issued though, shows as offered) per the 6/30/13

10 million common shares issued to Heritage Corporate Services
8 million restricted shares issued to Julius Lindsay Workman for $20,000

282 million common shares for $363,000 capitalization per the 9/30/13 filing

447,784,000 common shares for $177,000 debt settlement per the 12/31/13 filing

Total 935,784,000 common shares for $540,000. That's about $.0006/share.

(G7)PennyMann's 3/11/14 Revenue discussion:

Here's a lengthy three year BBDA Revenue discussion.  I feel it's necessary though, so please bare with me.

3/31/11 Revenue $504,932,40; Net Gain $251,032.22
3/31/11 filing

6/30/11 Revenue $593,219.43; Net Gain $165,212.38
6/30/11 filing

9/30/11 Revenue $612,311.87; Net Gain $140,805.79
9/30/11 filing

12/31/11 Revenue $2,374,224.23 (year); Net Gain $657,585.98 (year)
12/31/11 filing

3/31/12 Revenue $671,064.05; Net Gain $172,013.77
3/31/12 filings

6/30/12 Revenue $784,886.14; Net Gain $347,098.81
6/30/12 filing

9/30/12 Revenue $1,619,903.14; Net Gain $573,476.63
9/30/12 filing

12/31/12 Revenue $1,479,764.01; Net Gain $490,727.96
12/31/12 filing

3/31/13 Revenue $1,599,873.35; Net Gain $507,864.76
3/31/13 filing

6/30/13 Revenue $1,988,021.67; Net Gains $295,957.96
6/30/13 filing

9/30/13 Revenue $2,206,764.35; Net Gains $70,191.70
9/30/13 filing

12/31/13 Revenue $2,001,531.01; Net Gain $17,796.01
12/31/13 filing

National Retail Foundation (NRF) Seasonality Discussion

Armed with BBDA's Revenue figures for the past three years and the NRF's seasonality discussion we can see that BBDA's Revenue is not declining year to year.

Here are different views of BBDA Revenue (% increase represent year versus year):

Quarter 1 2011-2013
2011: $504,932,40
2012: $671,064.05 33% increase vs 2011
2013: $1,599,873.35 238% increase vs 2012
Total: $2,775,869.80

Quarter 2 2011-2013
2011: $593,219.43
2012: $784,886.14 32% increase vs 2011
2013: $1,988,021.67 153% increase vs 2012
Total: $3,366,127.24

Quarter 3 2011-2013
2011: $612,311.87
2012: $1,619,903.14 165% increase vs 2011
2013: $2,206,764.35 36% increase vs 2012
Total: $4,438,979.36

Quarter 4 2011-2013
2011: $663,760.53
2012: $1,479,764.01 123% increase vs 2011
2013: $2,001,531.01 35% increase vs 2012
Total: $4,145,055.55

2011 Total: $2,374,224.23
2012 Total: $4,555,617.34 92% increase vs 2011
2013 Total: $7,796,190.38 71% increase vs 2012

Yes (sarcastic), Revenue is decreasing. Sell me those cheap shares. The fact of declining BBDA Revenue has been debunked.

Still thinking a Revenue decline? Ok here's another Revenue view:

2011 Q1-Q4
Q1: $504,932.40
Q2: $593,219.43 17% increase vs Q1
Q3: $612,311.87 3% increase vs Q2
Q4: $663,760.53 8% increase vs Q3
Total: $2,374,224.23 nope no decease here

2012 Q1-Q4
Q1: $671,064.05
Q2: $784,886.14 17% increase vs Q1
Q3: $1,619,903.14 106% increase vs Q2
Q4: $1,479,764.01 9% decrease vs Q3
Total: $4,555,617.34 ZOMG! Decrease on Q4!

2013 Q1-Q4
Q1: $1,599,873.35
Q2: $1,988,021.67 24% increase vs Q1
Q3: $2,206,764.35 11% increase vs Q2
Q4: $2,001,531.01 9% decrease vs Q3
Total: $7,796,190.38 ZOMG again! Decrease on Q4!

So, let's ignore the big changes in Revenue values year to year and quarter to quarter and focus in on the two quarter 4 decreases in 2012 and 2013. This definitely warrants a statement "BBDA's Revenues are decreasing!" Mmmhhmmm. The National Retail Foundation discussed the seasonality of retail operations in its guide I referenced. Seasonality is defined as a repetitious behavior in demand for products. Hmm, seems in Q4 BBDA's products may be in less demand than in quarter 3. Disagree? The quarter 4 sales figures are still higher than quarter 1 and 2 values. Maybe ask about BBDA's seasonality in the next shareholders meeting.

The net gain has been shrinking each quarter. At first glance one would think this is a bad sign. However, if a company is expanding distribution, adding marketing avenues, and developing new products for sale then the reduction in net gain signals expenses are increasing to pay for growth initiatives.

Please sell all those shares because if this company gets audited financials that substantiates the growth so far in the past 3 years I'm going to sing to the bank! Ooo, and ice cream might be sold next- with hemp!

(G8)PennyMann's 3/12/14 Short Selling discussion:

It has been said short selling is too expensive for BBDA traders to do.

Yet, this OTCMarket Short Sale Report shows as of 1/31/14 there were 541,381 shares short. This OTC Report is as of a set point in time- as of 1/31/14. If a retail trader were to short BBDA that 541,381 short interest would represent more than $1.5 million needed in their account to complete the short selling. The $2.50 per share requirement has been discussed.

I contend that trader, or traders, forgot to cover in time for short selling reporting. Or another market participant type. I can't prove it 100% of why those shares were outstanding to report. But, it shows some big trading account(s) felt BBDA was worth shorting recently, just over a month ago.

So, if I had a short interest I'd do what I could to show BBDA and its CEO is FOREVER EVIL. Wait for news to hit, sell high, and cover into the buyer momentum left.

Or I'd want cheap shares for what evidence I've provided so far.

(G9)crwmbrnmb12's iHub post #254834 of BBDA's cost discussion:

3/18/14 regarding most BBDA expenses are for racing? Really?

"Ok for your arguments sake.. If product is not selling and stocks are sold for racing.. where does the money come from to keep up a appearance of a business, since you know thats all he's doing so he can race of course.

1. Building Cost - Cause there is a Building
2. Salaries - People who work there don't work for free
3. Cost to transport goods - They get to the stores somehow before they turn to rust
4. Manufacturing cost - The drinks and cans have to come from somewhere
5. Cost of radio Spots - Im sure the radio station isn't in on the Scam
6. Cost to go to expos and shows - Last i checked they don't have teleporting devices yet
7. Insurance - There has to be insurance on the trucks and whatnot
8. Regular Fees to keep a company in Business - The Gov is going to get there share no matter what"

(G10)PennyMann BBDA and CEO social media usage 3/27/14 post

BBDA CEO and social media

The SEC's stance on usage of social media:

http://www.sec.gov/News/PressRelease/Detail/PressRelease/1365171513574#.UzR0QCm9LCQ

Specifically from the SEC report:

"The report of investigation explains that although every case must be evaluated on its own facts, disclosure of material, nonpublic information on the personal social media site of an individual corporate officer — without advance notice to investors that the site may be used for this purpose — is unlikely to qualify as an acceptable method of disclosure under the securities laws. Personal social media sites of individuals employed by a public company would not ordinarily be assumed to be channels through which the company would disclose material corporate information."

BW stated his opinion of what the pps might do on Twitter. Not a material corporate information release.

More research as to why CEOs are encouraged to use social media:

Harvard Business Review blog:http://blogs.hbr.org/2012/07/new-research-on-why-ceos-shoul/

BusinessWeek:http://images.businessweek.com/ss/09/05/0508_ceos_who_twitter/

TwitterUK:https://blog.twitter.com/2013/why-ceos-should-be-on-twitter

Business Insider:http://www.businessinsider.com/how-ceos-use-twitter-2012-10

(G11)lucky day's iHub post 3/28/14 re: Nice Dreams ice cream:

Cheech and Chong will sell some freakin' ice cream. The license to use the 1981 images alone is great. With the pot stock market tripling lately, and with hemp being an ingredient according to the FOX NEWS story on his ice cream... I can forsee buyers in Colorado or Washington where tourism is kicking big time, for those people too straight to smoke or eat the actual buds. Hemp and Cheech and Chong ... close enough. Cautious tourists who wanted to look cool would say: "When we get back, we can say we ate Cheech and Chong ice cream and just leave it at that!"

http://www.myfoxcarolinas.com/story/25066840/statesville-company-bringing-nice-dreams-to-the-masses

Popular articles dig the idea of relaxation ice cream, putting the name aside when that is a big selling point!
http://www.stylus.com/lssgbj

http://www.foodnavigator-usa.com/Markets/Relaxation-beverage-founder-betting-on-sleepy-time-ice-cream-supplement

Anyway, I'm in!

(G12)Short Selling Discussion PennyMann 4/7/14

Shorting any stock, even below a $.01 is possible. Especially for a toxic financier such as JSJ Investments with a multi-million dollar account and many shares from convertible debt available to short.

Once the pps is low enough then unload at a higher pps as traders feel the "bottom" has been reached.

Some light reading if you're tired of unsubstantiated discussions:

http://www.law.emory.edu/fileadmin/journals/elj/54/54.1/Nayini.pdf

In regards to the pps decline 4/7/14:

I agree we have three possible scenarios:

- Sellers believe the negative discussion and are selling at a loss. The pps has berm going down and unless you bought at the dip a few months ago a loss is what will be had selling.

- Vendors and financiers are selling their shares due to a low inputed pps at time of issuance for any value.

- The toxic debt financier involved with BBDA could be shorting with their hefty account value backing. The shares issued are available for shorting. Individuals could be employed to persuade traders to sell and lower the pps and allow gains while covering the short trades. I agree individual retail traders are probably not able to be shorting BBDA at $2.50/share requirement.

Happy selling, shorting, and grabbing cheapies! I'm waiting patiently as my gain % drops for choosing investing in BBDA.

(G13)PennyMann's Online KU/BeBevCo product purchase

Why do we have to buy Koma Unwind online at Walmart? Why not at these online venues?

Amazon
http://www.amazon.com/gp/aw/d/B007WDRE6G?pc_redir=1396778996&robot_redir=1

BeBevCo Shop
http://bebevco.com/shop/

XXL-Sale
http://www.xxl-sale.com/search/?q=Koma%20Unwind&campid=5337390147

(G14)FDA Letter to DEWM Regarding Melatonin Usage and PennyMann reply

The Food and Drug Administration (FDA) has reviewed the regulatory status of the ingredients declared on the label of your beverage products, Lean Slow Motion…Potion (Easta Pink, Purp, and Yella varieties) and has determined your products are adulterated under Section 402(a)(2)(C) of the Federal Food, Drug, and Cosmetic Act (the Act) [21 United States Code (USC) 342(a)(2)(C)] because they bear or contain an unsafe food additive. Specifically, the products contain melatonin (5-methoxy-N-acetyltryptamine, CAS Reg. No. 73-31-4), which is a neurohormone and is an unapproved food additive under Section 409 of the Act [21 USC 348]. The regulations pertaining to the general provisions for food additives are located in Title 21, Code of Federal Regulations, Part 170 (21 CFR 170).

Additionally, based on our review of your product labels, your Lean Slow Motion…Potion (Easta Pink, Purp, and Yella) products are misbranded within the meaning of Section 403 of the Act [21 USC 343]. You may find the Act and FDA regulations through links at FDA’s Internet home page at www.fda.gov1.

Your Lean Slow Motion…Potion (Easta Pink, Purp, and Yella) products are represented for use as conventional foods, and accordingly are not dietary supplements, as defined under Section 201(ff) of the Act [21 USC 321(ff)]. The Act excludes from the definition of a dietary supplement a product represented for use as a conventional food or as a sole item of a meal or the diet [21 USC 321(ff)(2)(B)]. Your use of the term “dietary supplement” below the Nutrition Facts panel on your product labels does not make your products dietary supplements, because your Lean Slow Motion…Potion products are represented for use as conventional foods. Examples of factors and information that establish that the products are represented for use as conventional foods are as follows:

Your products are described as beverages on the information panels of the cans.

The “Products” page on your website describes your Yella product as for people who like “pineapple-based Fanta” carbonated soft drink, your Purp product as for people who “like it raw mixed with Sprite” carbonated soft drink and your Easta Pink product as inspired by “Sprite Easta Pink.”

The homepage of your website, www.slowmotionpotion.com, refers to your line of products as, “#1 relaxation beverage” and “the most potent relaxation drink.”

The “Products” page on your website describes the flavor of your Yella product as having a “hint of red Jolly Rancher flavor” and “unique flavor combination that is ranked number 1 in blind taste tests.” The page describes the flavor of your Purp product as including “grape Jolly Rancher candy.” The page describes the flavor of your Easta Pink product as “a secret flavor combination” that “creates the sweetest of the Leans.”

Your products, sold in single-serving pop-top aluminum cans, have the appearance and packaging of carbonated soft drinks.

Your products contain a Nutrition Facts label.

Your products are comprised of typical ingredients for carbonated soft drinks (carbonated water, sugar, citric acid, natural flavor, potassium sorbate, sodium benzoate) plus melatonin and extracts.

The president’s message on your company website at www.dewmarinternational.com/presidents-message/ refers to your products as “relaxation beverages” and a “beverage brand.”

PennyMann 4/8/14 reply to this FDA possibility and the use of a straw man argument:

Good recovery but no dice. Either BBDA is successfully selling KU, and other distributed BBDA products and a POSSIBLE FDA ruling regarding melatonin will effect a recall...

OR

KU isn't selling or is just in a few little wittle mom and pop stores and the recall wouldn't effect BBDA anyway...

Which is it...every minute it changes here...

Sounds like it does 24/7 to me- all or nothing.

KU sells at mom and pop stores and garage sales only...instead of at Walmart and many locations shown on the KU locator.

BW is a liar and must go to prison...instead of he can listen to shareholder concerns and rectify some issues.

The financials are a fabrication...instead of hiring an accountant to bring the fins to GAAP on possible recommendations if any.

The dilution will put us to no Bid then reverse split....instead of the o/s remaining the same soon and the remaining a/s being retired.

The current marketing focus on NASCAR, radio spots, magazines, and expos is a waste...instead of the product base and awareness could increase.

Koma Unwind will be recalled for FDA melatonin restrictions...instead of the product can be re-worked for possible FDA re-approval IF melatonin is restricted.

Pot calling the kettle black...straw man indeed...

(HH)OlafKjelldsen's iHub old DD post 2/22/12:

BBDA - a few more puzzle pieces

Thank you, nodummy, for the outstanding collection of info on Carnes, Weber and BBDA.

A couple tidbits about your namedrop, Jared Hochstedler, in regards to Bebevco CEO Brian Weber. When Weber fielded his own race team back in 2003, he set up to sell shares in the race team with Mr. Hochstedler playing a significant role.

http://web.archive.org/web/20031009163735/http://www.brianweberracing.com/ownership%20agreement.htm

So Weber's connection to the Carnes/Hochstedler/Kistler/etc. Ft. Wayne boys club goes back at least that far, 5 years prior to the Kistler/Race Fumes LLC connection.

The Weber/Hochstedler connection continues as discussed in this PR about EESO agreeing to distribute Potencia:

http://www.bloomberg.com/apps/news?pid=conewsstory&refer=conews&tkr=EESO:US&sid=aZVpdOM.krVw

Potencia USA LLC is one of at least 4 or 5 private companies co-owned by the same two people (Brian Weber and Daisy L. Ramirez) who own the public company, Bebida Beverage Company. The others are Racefumes LLC (once slated to be sold to Kistler), DLR Associates (who own the trademarks for all beverages sold and marketed through Bebevco), Daisy Ramirez Racing (NASCAR Craftsman Truck Series race team Weber bought and operated through the 2010 season, website now defunct) and the recent Bebevco Holdings, an LLc created to own the race shop/warehouse building Bebevco occupies and which BBDA share buyers are paying for. Bebevco Holdings is wholly owned by BBDA, the public company. The financial interplay between these companies has never been clarified, but interesting tidbits like this, from an unaudited BBDA financial filing, certainly beg the questions:

http://investorshub.advfn.com/uimage/uploads/2011/3/1/kyquabbdaannual2.jpg

Weber and Ramirez's Bebevco sells Potencia Shots, owned by their private company, Potencia USA LLc, with the trademark for the product owned by their private company, DLR Associates. Not hard to show a profit when the stuff you're selling is free.

Anyway, I'm getting off track. Jared Hochstedler apparently disappeared from Weber's orbit after that 2008 PR about EESO distributing Potencia in the Midwest. Then Lo and Behold, just a few weeks ago, at a Style Icon Celebrity Gift Lounge for the Superbowl where Bebevco paid to get pics with celebs and athletes and push their product, look who appears wearing an exhibitor pass and holding one of Bebevco's Koma Unwind drinks!

http://styleiconevents.smugmug.com/Events/Style-Icon-Super-Bowl-XLVI/21358822_8d4j2g/1702206781_2hpQ699#!i=1701847713&k=qJqqf7f

http://styleiconevents.smugmug.com/Events/Style-Icon-Super-Bowl-XLVI/21358822_8d4j2g/1702206781_2hpQ699#!i=1701851861&k=mTst86b&lb=1&s=A

Brian Weber has spent the time since buying this company complaining about being saddled with the old debt that was somehow missed when he bought the shell and blaming the rampant dilution on that debt, though an examination of their filings show the dilution to be just as much their fault. If he feels somehow taken by Carnes and his pals, it kind of makes you wonder why Jared Hochstedler is now apparently helping promote Bebevco products.

Among all this, it's worth noting that Brian Weber and Bebevco were sued by YA Global for trying to hide assets from them, as Carnes had done when he moved RNVO/BBDA shares from the NV corp to the newly formed WY corp. Weber created a duplicate DE corp with 5B shares to try and move them out of YA Global's reach but got caught.

From DE SOS:

http://investorshub.advfn.com/uimage/uploads/2012/2/22/wkesabbda-delawarecorp.jpg

YA Lawsuit info:

https://viewer.zoho.com/docs/xbyPX

Weber claimed to have met with YA Global's lawyers and negotiated the debt down/settled, though he continued to blame it for dilution and the debt was eventually sold to Redwood, as you noted.

Here Brian Weber discusses the debt:

http://www.youtube.com/watch?v=L5TVU36EHjg

I have more stuff, but that's it for now. Here's a bonus tidbit - the front page of the legal opinion supporting Bebevco's 504D:

http://investorshub.advfn.com/uimage/uploads/2011/12/18/neuq%5Bbbda504screencap.jpg

(II)PennyMann's 3/10/14 JSJ Trading Group Rival message: (hypothetical analysis of short sellers point of view)

Hi BBDA Team Members,

Thank you for aiding in the identification of the issues involved with BBDA. The recent PRs have made us a little nervous down here, but allowed our position to be established. We have utilized the SureTrader handbook to take a significant short position. Our funds rival that of JSJ Trading Group, so don't fret the requirements for us to position ourselves hehe. Ooo, thanks for discrediting how we do this.

Some suggested issues to focus on:

- The BBDA 9.8 billion a/s. This is key because we need to enter high and exit low. With so much buyer momo recently the Bid should remain for exit with dilution. A great screen.

- Smash the future image being created by PRs once our position is established. Just look at that max chart- nothing but down! Oprah Magazine has nothing on us.

- The BBDA CEO looks scary. Focus on him because he's a public figure who drank KU before a race participated in. This will help with the future pps we need. The CEO has made so many mistakes that the future couldn't possibly be heading in the right direction! He's also a little fatty.

- The financials have been showing revenue progress. This is not good for a sustained downtrending pps. It's easy to point out the fins aren't audited. The figures must be false! Create estimated "more accurate" fins to inform the poor uninformed public.

We appreciate all your dedicated efforts through your each and every hour and day. It's key to the long-term downtrending chart and locking in profits from our position.

PS: Ice cream from a beverage company? Really? Ooo so easy, wish we could help more. Be careful though because the actual selling of product could cause a blip in our plans. Keep us apprised.

- JSJ Trading Group Rival
(shhh we're down here)

3/11/14 JSJ Trading Group Rival message: (hypothetical analysis of short sellers point of view)

Hi BBDA Team Members,

Great news! The pps is falling and our positions are looking better. Remember, the further down the pps goes the better. It appears Bid support is vast enough to weather our exit soon. Be prepared. We don't want to be left with shares when the new agreement hits the PR wire. We aren't sure what the announcement is but it won't be good for a short-term downtrend we need.

It is great to celebrate our success as we exit with gains in the downtrending pps today. Be sure to contain your written excitement (I've personally seen a few happy investors today).

Try to stick with the dilution posts for the next few days. Dilution is a great screen to our exit. Some actually believe the company would want less as they dilute with new shares entering the market? Haha! Great job.

Ooo, ya almost forgot. Stick it to them that the great news via PRs, such as marketing in O Mag and a radio show plus the ice cream subsidiary, is obviously not helping the pps this week. These marketing efforts couldn't possibly help BBDA sell more product.

We want little pps spikes to enter in the future and big downward pps drops to garner more profitable trades. SureTrader is excited about the trading fees we are paying lately.

- JSJ Trading Group Rival
(shhh we're down here)