Bots Inc (BTZI)

[lesgetrich]

Did you think they were going to CC that the letter was genuine?

Yes, or they wouldn't have mentioned it at all. THE FACT IS THEY SAID IT WASN'T AUTHENTIC!!! - Your're really grasping at straws here.

Answer: I think it was either MD or NOS who mentioned that MCIG, in fact, has hired social media consultants in the past. In addition, MCIG/VTCQ does control what certain people say.

...mCig has hired people to create a presence on social media such as setting up a FaceBook and Twitter account. They do not hire people to post on message boards nor control what they say.

I have periodic conversations with mCig management but they do not control what I say or compensate me in any way. I did not tout exponential growth from overseas partners last fall and you have no proof that those who did had any inside information or were controlled by mCig. Your charge here is a totally baseless accusation.

Moreover, your comment...

Like I said the CC did not cover what most listeners wanted to find out about Malecon

...while a valid observation can not qualify as a criticism since mCig was gagged by it's confidentiality clause which anyone can check in the merger contract.

As for your contention...

Like I said, the construction project materials and labor is done at cost. Normally construction companies mark up both labor and materials for net profits to the company. Like I said, the percentage of "profit" is done by charging for consulting fees. There WILL BE ZERO NET PROFITS BECAUSE IT WILL ALSO SHOW UP AS AN OPERATIONAL EXPENSE FOR THE SAME %. I challenge you to show what the books will show using Generally Accepted Accounting Principles with the Green Leaf project. Betting it will come out at as $0 net profit.

It would have been nice if you actually read the CC transcript...

mCig (MCIG) Q4 2016 Results - Earnings Call Transcript

But the company’s approach is to design and build contracts, to understand what we did with Greenleaf, we design and build contracts in a prepaid cost-plus basis. This is virtually unheard of in the industry where you're identifying what the cost of it is, you're getting prepaid for it and you're building in a percentage of profit.

Now in the particular case of Greenleaf, we decided they could provide us some more marketing and promotional expertise that we think is critical to the spreading of the mCig name and awareness across the globe, that we believe that there were some promotional expertise that they could help us in our long term, we've elected to convert some of that profit into a project on our quid pro quo exchange of services.

These are services had they paid us, the profit on this project, we would have expended to develop this marketing and promotion anyways because we need to do that.

So all the costs are prepaid and the profit is a fixed amount. According to the original contract that was posted in PNTV's 10-K, they traded 200,000 of consulting services over and above the construction costs/profits for roughly $430,000 in marketing. So, just the opposite of what you claim, roughly $230,000 will be additional fair value over and above their expenses posted in their books.

Finally as for...

- excuse was for FY16Q3. So, if corrected, what happened to FY16Q4; which is -17% vs. FYQ3??

Besides the merchant banking issue, Mike Hawkins also attributed the drop in revenue to a second factor...

But I can say we dealt with some setbacks, nothing is ever always rosy. There are two setbacks the company wishes to inform its shareholders of. Everyone has read the financial statements and should have noticed the drop in the sales. We discussed -- as it moves more into the mainstream, we expect the burden to be tampered and dwindled for this merchant services issue.

And very few banks, virtually none in the U.S. that are FDIC insured, will process payments for products in this industry. Most companies have had to look internationally for processing power and have faced with massive reserves, lengthy delays in payment transfers and high cost of money. That’s if they can find someone to process their payments.

This hasn’t been helped by the high industry rate of fraudulent credit card transactions, but we've managed to navigate that minefield and we have a strong position, but it took us a while to overcome. We believe that our solution has created another opportunity for us to explore and we are exploring it.

The second setback was the failure of one of our prime contracts that fell to meet its obligation it was contractually bound to fulfill. The company is still addressing the issue and hopes to resolve the differences, but even with these minor setbacks, the company remains viable and strong.