American Energy Production Inc(fka AENP)

[lehac]

Seems nobody has read the 10k document!!!
I was just doing some DD on this stock and that´s what I encountered:

http://www.sec.gov/Archives/edgar/data/1111391/000110801706000301/ae10k.htm

Some parts of this document scare me:
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We have incurred net losses in prior years and this resulted in a significant accumulated deficit and stockholders’ deficiency as of December 31, 2004. As reflected in the accompanying financial statements, although the Company had net income of $13,920,315 for the year ended December 31, 2005, $14,852,861 of this amount was from a non-cash unrealized gain on investments to reflect the fair market value of the Company’s investments as of December 31, 2005. Accordingly, without the unrealized gain, the Company would have had a net loss for the year ended December 31, 2005. Additionally, the Company had net cash used in operations of $354,099 for the year ended December 31, 2005 and a working capital deficiency of $207,486 at December 31, 2005. The Company is also in default on certain notes to banks and is in the development stage with minimal revenues. The ability of the Company to continue as a going concern is dependent on the Company’s ability to further implement its business plan, raise capital, and generate revenues. The financial statements do not include any adjustments that might be necessary if the Company is unable to continue as a going concern.

The time required for us to become profitable is highly uncertain, and we cannot assure you that we will achieve or sustain profitability or generate sufficient cash flow from operations to meet our planned capital expenditures, working capital and debt service requirements. If required, our ability to obtain additional financing from other sources also depends on many factors beyond our control, including the state of the capital markets and the prospects for our business. The necessary additional financing may not be available to us or may be available only on terms that would result in further dilution to the current owners of our common stock.

We have substantial current obligations and at December 31, 2005, we had $678,825 of total liabilities. The Company does not have sufficient cash resources or current assets to pay these obligations.
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As of March 30, 2006, American Energy has 1 full-time employee, including executive officers, non- executive officers, secretarial and clerical personnel and field personnel.
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I´m really sceptic!
Please tell me your opinion.