The good and the bad. Just to confirm, I got out a while back with a $158 profit. The stock was just too illiquid for me. Lucky I got out when I did. Anyway,the good:
-We recorded revenues of $316,000 for the year ended December 2012 and $149,000 for the three months ended March 31, 2013. All revenues to date are primarily attributable to the arrangement with HoMedics. As of March 31, 2013, we had a backlog of approximately $347,000, consisting of orders for additional units of our wellness product that we expect to deliver during 2013.
$149,000 isn't too bad considering just one product.
But, the bad:
On May 8, 2013, the Company entered into a Subscription Agreement with two accredited investors (the “Investors”), pursuant to which the Company sold and issued to the Investors (the “Private Placement”) a total of 10,000,000 shares of the Company's Common Stock for proceeds of $250. In connection with the Private Placement, warrants (the “Warrants”) for an additional 5,000,000 shares of the Company’s Common Stock was issued to one of the Investor. The Warrants are exercisable through May 8, 2018 at a per share exercise price of $0.10.
In May 2013, we raised $250,000 from the sale of our securities to two accredited investors. However, we need to raise additional funds in order to realize in full our business plan as well as pay outstanding loans in the approximate amount of $1,493,000, of which $1,417,000 mature by March 31, 2014. In January 2010, we restructured our operations in an attempt to focus primarily on our core technology for non-medical market operations. As of May 2013, we had two employees working on a full-time basis. In addition, all research and development activities are performed on a sub-contracted basis. If we are unable to raise additional capital, it may be necessary for us to take further cost cutting measures to reduce our cash burn including laying-off additional personnel and/or cease operations entirely. No assurance can be given that we will be able to raise additional capital. These conditions raise substantial doubt about our ability to continue
as a going concern.
GOOD LUCK EVERYONE!!
