US Stem Cell Inc (USRM)

[Pyrrhonian]

What a sad state of affairs. I am actually impressed with the clinical data available on their treatments too. But just one look at those pictures of the two beautiful execs with scrape-by educations (romance maybe?), under-qualified for their positions yet making high salaries complete with regular bonuses, and one 90 year old doctor who may not really even know where he is or who that nice young man with the fabulous slicked back salt n pepper hair is smiling above him, and you get the distinct feeling something very off is afoot. For starters they should remove any trace of these photos. Seriously..

Next, they should sell their entire pipeline for $30-$50mm and get out of the way. But they almost certainly won't do that--they're making good money diluting. More than they would on a buyout.

If they can really continue to ramp up production and sales quarter over quarter I might have another look in a year or two, especially if during this time they also establish open label data on treated patients that attracts funding for their approved trials. Until then, who knows.. $0.01.. $0.008.. $0.004.. $0.0001... I wouldn't expect anything big to happen here for a while, imo.

It's creepy. And sad, when you consider how much better this tx would be in the hands of proper management. 600mm shares... wow.

For instance, what if the CEO and CSO decided to cap their salaries at $125k and $75k respectively, with no bonuses or stock options going forward (they won't starve right?). That's $575k/yr plus another $200k-$800k relegated to clinical trial research. Well, in 3-4 years, that would equate to $3mm-$6mm in funding. They could easily blow out a decent size randomized Ph II on that. That would produce data to enable partnering, and you're off and running. Instead, they feast.

Thanks for the reminder on why I stay far away from 99.99% of all OTCBB traded securities.