CaliPharms Inc (KGET)

[rawman]

I will try to assume this is a real business! The current BUSINESS MODEL CANNOT COME CLOSE TO WORKING! Larger and more efficient competition will eat KGET's lunch! Check out Canada! The wood pellet manufacturers in British Columbia ship by RAIL directly to the PORT of VANCOUVER B.C. BOBO LOSES MORE MONEY WITH EACH WOOD PELLET HE SELLS! It is once again interesting to note our man BO chose NOT TO DISCLOSE the AMOUNT of the most recent LOC! $165 PER METRIC TON (PRICE OF THE FIRST SHIPMENT) CAN'T HACK IT! Even Bo indicated that $170 per metric ton would ONLY YIELD 3% to 5% MARGIN (GROSS MARGIN?) and this was before he came to grips with sending a convoy of tractor trailers from SHOW LOW to PHOENIX to GARDENA to the PORT of LONG BEACH! BO is probably hoping everyone forgot HIS ORIGINAL ESTIMATE!

rawman Wednesday, 04/16/14 08:44:51 PM
Re: Stanner post# 25235
Post # of 25279

Growing, using ONLY REVENUE??? NOT IN BO's WORLD! ASIDE FROM DILUTION, please tell the investors about KGET's plan for using the $12,000,000 from the EQUITY PURCHASE AGREEMENT with Premier Venture Partners. This $12mm in TOXIC FINANCING WILL BE USED TO PAY FOR WHAT? And $1,000,000 in NET INCOME?...WHEN KGET HAS NOT EVEN IDENTIFIED A COST-EFFICIENT METHOD TO MOVE PRODUCT FROM THE MANUFACTURER TO THE CUSTOMER. FOR SURE IT IS NOT BY TRACTOR-TRAILER! HOW CAN A PURPORTED CUSTOMER (OR TWO), WHO SIGNED A "BINDING(?) COMMITMENT" FOR AN ANNUAL BUY OF 60,000 METRIC TONS THREE MONTHS AGO, USE KGET AS A RELIABLE SOURCE-OF-SUPPLY, WHEN KGET PROMISED TO SHIP 5000MT IN 30 DAYS, BUT HAS TAKEN 90 DAYS TO SHIP 120MT for TOTAL REVENUE OF $19,550 and a VOLUME SHORTFALL OF OVER 95%! HOW MUCH OF THE $19,550 was/will be USED TO PAY FOR THE WOOD PELLETS and HOW MUCH OF THE REMAINDER WAS/WILL BE USED TO PAY FOR ALL THE LOADING, UNLOADING, RELOADING, ETC. This PURPORTED WOOD PELLET BUSINESS CANNOT BE CLOSE TO PROFITABLE AT $165 PER METRIC TON! IS THIS PRICING THE CONTRACTUAL COMMITMENT TO THE KOREAN CUSTOMER? THIS P&L DOES NOT WORK! IMO, GIVEN THE CURRENT SUPPLY CHAIN, KGET IS WITHOUT DOUBT FACED WITH GENERATING VERY SUBSTANTIAL LOSSES! GOOD THING THERE IS A $12,000,000 EQUITY PURCHASE AGREEMENT IN PLACE! Right now, the clock is ticking and KGET has to come up with a mere 59,880MT in just over 9 months! GOOD LUCK!