Baristas Coffee Company, Inc. (BCCI)

[BobSinCA]

TX ones have closed. So have AZ ones. A year ago company announced franchising papers filed for half of US, but only thing opened has been Coral Gables.

Those have been announced as 'profitable,' likely because advertising was all paid for on Corporate budget.

The company is great at PR -- but at operating a business, not so much. Note the $7M of 'unidentified ... assets' on the balance sheet. This results from stock issued for operating expenses, such as $500K for ice cream distribution. These will be inevitably written off, likely with a 'prior period adjustment' so that the expense will not pass through the P&L as it should have done when the shares were issued.

Actually, did pass through the P&L then, but at .001 per share, not the .03 - .10 that should have been used. When error pointed out, they put on the bs.

I fully expect a write off with upcoming 2013 annual report. Company likely hoping that current wave of publicity will dwarf concern over actual financial results.

Which is a pinkie thing. And have to give Mr. Henthorn credit for the publicity part of this. $40M valuation for a company with about $1.5M in annual revenues, no profits (see 7M issue above) with constant store count (actually, more closing than opening in last 12 months), is pretty incredible.