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Get with the program, dude. It's $1.75M
If we pay $1.75m cash over 12 months and the note holders are in agreement this is the full value owed, what happens to the other $1.75m we are showing on the BS as convertible debt?
Oh I'm sure the note holders have agreed to some manner of cut in interest. As you pointed out, though, Schadel has been characteristically vague on the details of what exactly the savings is. My guess is that interest and contractual fees were waived for the 12 month forebearance period. Considering the steep cost that it must surely represent for notes that will all be well over 12 months late at the end of the agreement term, Schadel has ample opportunity to claim "savings" despite loans ultimately costing 1.5-2x principle.
Of course, there is nothing that suggests note holders haven't charged steep fees for the forebearance, which would be separate from the "savings" Schadel would be bragging about as a result of his "voodoo math".
Nothing adds up here, which is just par for course with another pinky stinky.
I wonder what "voodoo math" Schadel used to come up with that number.
Dana Schadel is probably already on payroll like Ryan Schadel's father, who gets $84,000 per year for "IT services".
Do people NOT research their investments???
On December 31st Ryan Schadel SOLD all assets and debts of TSGL to the outgoing CEO. TSGL is a SHELL COMPANY. It has NOTHING...NADA...ZILCH!
This is why TSGL is doing a reverse split because, clearly, whatever change the outgoing CEO decide to pay for his severely indebted company was probably not enough to cover the hundreds of thousands of dollars in LTNC cash Schadel paid for TSGL shares.
This is why the company has to raise capital through equity financing (IPO) in order to purchase the 6 branches Schadel claims to have "sold" to TSGL rather than to a phantom 3rd party that supposedly offered $2.5 million in cash.
And then when we factor that LTNC basically owns TSGL we can see that Schadel is his own best customer. Yay!
Are we paying enough attention to know that Kimberly Thompson is serving as both CEO of TSGL and COO of LTNC? Nothing sneaky there!
It's ALL smoke and mirrors...c'mon! READ, people!
BTW, if you're waiting for 2016 Q1 to assess the company you've got a long way to go. The next report is the 10k and that is due NLT April, assuming it is filed late.
Give it a rest. Q3 is the last financial report and the most relevant information on the health of this company. Deal with it.
Some time ago Ryan whined about a note holder who was converting "aggressively". That was back when the OS was around 1 billion. Now, we find that $3 million in toxic obligations due by November 2015 were allowed to go unpaid to such an extent that Schadel had to beg for forebearance with all of the holders. Just a little history lesson on what goes on in the background.
"Improving balance sheet"...really??? The last quarterly statement sure doesn't show an improving balance sheet. Just about every negative metric got worse from the previous quarter AND there was a 20% reduction in the number of branches. Despite that, the CEO gave himself a $220,000 bonus AND took out a $175,000 loan at 50% interest. You must mean the CEO's personal balance sheet.
Of course it can't be disclosed- that would be transparent.
It's $1.7 million in cash owed per the "agreements" Schadel claims to have made with all of the late note holders. He said back in November that he had 12 months to pay off the agreements in order to prevent conversions. Mind you, the notes were already late and as of now he has paid off maybe a total of $150,000....maybe.
Every note that is not paid off in cash after 12 months reverts back to the original agreements and I'm sure that will include accrued interest and fees with merciless conversions at 60% market value.
Mind you, these are SEVERELY LATE notes- not "renegotiated".
In addition to the cash agreements, Schadel also owes $15,000 per month for $1 million in late 2013 payroll taxes, over $30,000 per month (in daily payments) for a loan he got in Q3 that I believe matures in April, plus whatever he must pay to cover an additional $1 million in payroll taxes payable that has accrued since 2013.
All with a sharp reduction in the number of branches and revenue that is collapsing.
Yeah...
And as for that 6 branch sale everyone keeps going on about- it's not going to happen. TSGL has to have a succesful IPO first in order to raise the funds and before that even happens the shell company is doing a 1:50 reverse split. Smoke and mirrors.
Everything you said is completely fabricated.
A. The 6 branch "arms-length" sale has not been completed.
B. The sale is contingent on successful pending IPO since the company has no assets, which is something Schadel made sure of after selling all the assets to the outgoing CEO on December 31st..
C. Schadel didn't pay off any debt with the $1 million transaction he made in June, so what makes anyone think he will do it now? In fact, Schadel made no mention whatsoever of what happened to that cash, but the Q showed that hundreds of thousands of dollars were spent on outside ventures and a handsome $220,000 bonus to himself.
The end of year bonus must be awesome if $220K is what he gets in the middle of the year on a no-bid stock with millions of dollars in late debt to note holders and Uncle Sam.
Riiiiiiight. Cuz that's EXACTLY what happened with the cash from the first sale. SMH
How much has the debt been reduced with the first reported branch sale? It was a $1 million transaction, yet the losses went up $500,000 in the same quarter, payroll taxes payable increased, and notes were still not paid despite being severely late. On top of that, Schadel took out a $175,000 loan at 59% interest that required immediate daily...DAILY...payments.
Last quarter would have had a $1.5 million loss without the sale. That's ONE quarter! Just what do you think is going to be revealed for Q4?
I'll tell you that Schadel is likely going to try to pad the assets with his hundreds of thousands of dollars in stock purchases of 1. A shell company, and 2. An unproven Irish startup.
Smoke and mirrors. LTNC is a stinky pinky despite the best efforts of hard working people under a lunatic for a CEO who tweets about getting a McLaren in the middle of a stock promo from months of no-bid right after giving himself a $220,000 bonus.
Yet people cheered. What can I say? He's got his audience.
Is Schadel also selling the debt? No, or he he'd have to pay to sell the branches. Schadel is selling off revenue (liquidating piece by piece) and for every branch sold he increases the amount of debt load each remaining branch has to cover. The math isn't hard on this. We just need to looks past the hype.
Pay attention, people:
"Ryan Schadel" is not purchasing shares. Ryan Schadel is leveraging what little cash LTNC generates to purchase shares on his own behalf. He gave himself a bonus of nearly twice as much of what was last reported for cash on hand in addition to his $150,000 salary and that's when the stock was at no bid. I don't make friends with con-artists, but I imagine that this is what it's like to deal with one.
.0006 and nearly 50% of the branches are now gone from the past year. Every con-artist needs an audience of suckers.
You must mean cashing out and I agree.
A reverse split would be very quick.
Those are the golden questions. Schadel's record of telling only superficial information to generate hype is long established.
Holding on to free shares is not the same as buying and holding .0001. Holding would have been foolish and represent a loss of up to 50% on potential return while gambling with the rest. There are no profits without cashing out.
A strategic shift to Wonka Bars on the way?
Not different at all. C'mon, it's a no bid play that has had a run. It happens so often on the OTC that there are forums dedicated to no bid stocks.
If we figure that accounts receivable are deferred for no more than 90 days we can conservatively estimate that the branch was generating at least $1.3 million annually. So, yeah...seems like a helluva' deal to get that for 1/4 revenue.
And then the fact that interest expense on accounts receivable has been 10% in 2015 makes it abundantly clear that Schadel is making shareholders PAY to sell his branches.
False logic, eh? Here's a simple question:
Do the branch sales represent any kind of return on investment?
No.
He sold 5 branches last year for $1,000,000 yet payroll taxes payable doubled and nearly ALL toxic notes were late by the 3rd Q.
The sales amount to HUGE losses.
Trip zero is exactly where this stock belongs. In fact, .00001 should be swinging around again before long as Schadel sells of any hope for recovery.
lolololol!!! Liquidation sale in full effect!
The accounts receivable are either factored or accounted for in toxic debt to cover payroll and expenses. As for the $336,000 price tag at least Schadel is getting closer to the roughly $400,000 cost it has been to open each branch.
How do I get $400,000 per branch?
32 branches opened/acquired since inception.
Around $13 million in total losses anticipated YTD for 2015 (Over $11 million last reported).
Including the 5 he sold for $200,000 each he has averaged $223,000 per branch.
To da moon. lol
Haha...it's coming. 7.2B OS/20B AS.
The "hating" was more than mutual, but good luck with the flips. Clearly, there are none to be had in TSGL for a while.
I agree...after a reverse split, if BK doesn't happen first.
why else would he be buying tons of shares on the open market at 0.0006 and pumping this thing reeeeeeaaalllly hard?
Which must be why it trades trip zero.
There are about 5 million reasons for why LTNC is not just a sub-penny stock, but a trip zero stock.
Just add up all the late toxic notes and late payroll taxes.
And with every liquidated branch those reason are bound to pile on.
Liquidation/closure branch count: 32-30-25-20 and now 18
If what's being said does not fit a rosy narrative it is not going to be processed and I am convinced that the effort is intentional, whether for profit or out of genuine ignorance. Shannan Manix (http://www.prnewswire.com/news-releases/labor-smart-inc-adds-former-labor-ready-regional-vice-president-shannan-m-manix-to-its-board-of-directors-197858511.html) and Matthew J. Rodgers (http://www.prnewswire.com/news-releases/labor-smart-inc-adds-former-labor-ready-coo-and-executive-vice-president-matthew-j-rodgers-to-its-board-of-directors-193371061.html) were BOTH former executives at True Blue who were on LTNC's Board of Directors and left when things started to go downhill. It took Rodgers a while longer, but he eventually bailed in March 2015. Now, Schadel can't fill the Board of Directors so he drums up this imaginary "board of advisors" to promote his failing schemes. Nobody who has any sense will take on the baggage that Schadel has created and continues to create. He is Master and Commander of his own sinking ship, which is probably exactly how he wants it, anyway. It's hard to sell shares and spend hundreds of thousands of dollars on outside schemes when it depends on the vote of responsible people.
Wanna see what a pinky scheme looks like?
LTNC's CEO is talking a big game about how he turned down a $2.5 million CASH offer for 8 branches because a shell company that he recently gained control of- despite millions of dollars of his own LATE debt- supposedly made a better offer, which (from previous PR's) is contingent on capital derived from equity financing through that stock, which is currently just a shell company. That company, TSGL, is being run by Schadel's COO, Kimberly Thompson.
It's like an incestuous family frolicking in a mucky shack of pinkyland's backwoods saying, "Yessir, we' gon' mak'm money!".
I'm not sure what's worse, though: LTNC or the fact that people buy into the "dream".
Uh, no. Labor Smart was supposed to tap into the billion dollar labor market. Unless you mean billion dollar app market, in which case you are implying that either job seekers or customers will have to PAY for the app. Wouldn't that be a hoot?
Oh, I'm sorry. I thought it was the same CEO.
Funny how the fact the CEO completely misrepresented his intentions is swept under the rug. NOW it's different because he "learned his lesson". lol
So...how was that "huge" announcement yesterday? Sure sounded familiar didn't it?
What friggin' joke.
The TSGL "offer" is worthless. Let's see why:
The CEO of TSGL, Kimberly Thompson, is a former (current?) LTNC executive who was put in place by Ryan Schadel after taking control of the stock on December 31st.
When he took control, he sold ALL assets and liabilities to the former CEO who resigned thereby making TSGL a shell company.
TSGL revenues were collapsing and had 50% more Liabilities than equity with late notes and payroll taxes, so the assets could not have been worth much and not likely as much as the hundreds of thousands of dollars Schadel burned buying TSGL stock.
The cash Schadel claims to have been "offered" by his new subsidiary is contingent on a successful IPO. Since TSGL is not actually merged, even if Schadel gets his dream cash it will still be debt in the form of a "more favorable loan" that he still won't be able to pay while debt continues to build.
There was never a serious or even "competetive" offer for branches beyond his TSGL puppet. If there had been, he would have taken it. This is nothing but pinky games that Schadel is recycling.
par value is .00001, yes 4 zeroes, shares will be converted below .0001 check the filings
there is no success here, only many, many losses and failures
Bwahahahaha! Yeah, ok.
complete and total SCAM and failure company here! why you may ask? because of all the losses they have sustained, this is just not a smart investment imo