US Stem Cell Inc (USRM)

[Dragon Lady]

Noise is deafening as it makes a low volume, near nothing bounce on a little short covering by the likes of Asher, Magna, Fourth Man, and other toxic debt financiers. (Maybe $8K total traded today)

The volume today is a fraction of the large, recent sell and dump days- where it's been doing 3 to over 4.5 million shares a day in hard sell of volume, often down 10% or more in single, high vol moves. It's trading a fraction of that vol today, not even reaching "avg daily vol" today, at just over 700K shares traded.

The stock has been flat-lining for long periods today where for 1 to 2 hours, not a single trade would post. Just sitting parked, dead in the water.

It's called a death-spiral "ratchet" for a reason. They (Asher, Magna, etc) take it down in "ratchet" stair steps and periodically cover. It's how a Magna or other toxic lender "does what they do".

Further, there is no sign, none of BHRT reaching any cost reduction scaling or cost reductions from sales? Costs and expenses have exploded upward, despite being a company of essentially only 2 people, with a few others added in once in a while (4 full time, 1 part time as of last SEC filing 10-Q).

Thus, w/o hiring any people, w/o expanding any facilities, w/o adding any assets, etc their costs and expenses have close to doubled yr over yr, and the sales and revenues made no difference to their desperate cash situation, as they again finished out the last qtr with only $46K cash on hand, against just immediate, very short term obligations such as accounts payable totaling $2 million plus (about as close to BK as one can get IMO, or insolvent, except for dilution and tapping desperation lenders such as Asher, Fourth Man, Daniel James and now Magna for trickles of survival cash).

There's nothing improving or getting "better" in their dire financial condition- their losses to operations this yr are as large as ever and their cash position as desperate as ever.

"retaining the right people"??? They're a "company" of 2 people for the most part with a hand full of others that get hired and fired every once in a while (4 full time, 1 part time as of last 10-Q, and maybe 3 or 4 total employees prior to that per the 10-K of last yr).

No expenses are going down- not a single indication of that from their most recent SEC filing; the opposite is true, their expenses are exploding upward, off-setting and negating the effects of any "revenues". No "streamlining" of anything is occurring- how much more "streamlined" can a "company" (barely) get than 4 people in a tiny, low priced, leased facility in Florida, that's about the size of an avg doctor's office or other very, very small business?

They're making continual LOWER HIGHS and LOWER LOWS in a sustained, unbroken, 8 to 9 month down-trend and closed out 2104 essentially near or at the 52 week low.

And now, they're gonna have increased legal costs, potentially large legal costs with the addition of another new lawsuit being brought against them- that they had to disclose it appears per Magna making them insert is as part of the recent share registration statement:

This most recent lawsuit is seeking $2.3 million in damages plus interest, which would more than likely bankrupt this nano cap company with a market cap of barely $6 million and about $250K total assets and almost no cash at any given time (see most recent SEC filings). It looks like 2 more directors have now "lawyered up" including the CEO now showing as having retained counsel for defense. How much is all this gonna cost this cash poor company one wonders?

https://www.clerk-17th-flcourts.org/Clerkwebsite/BCCOC2/OdysseyPA/CaseSummary.aspx?CaseID=7862332&hidSearchType=party_case&DisplayCitation=no&CaseNumber=CACE14021256&SearchType=

https://www.clerk-17th-flcourts.org/Clerkwebsite/BCCOC2/OdysseyPA/CaseSummary.aspx?CaseID=7155410&hidSearchType=party_case&DisplayCitation=no&CaseNumber=CACE13024037&SearchType=

Recently filed prospectus for the Magna "credit line" financing deal, the modified, updated version just recently filed on the SEC EDGAR database:

http://www.sec.gov/Archives/edgar/data/1388319/000114544314001603/d31959.htm

Quote, PAGE 75:
"Legal Proceedings

On November 10, 2014, the Company was served with a lawsuit by an alleged assignee and a guarantor to a Loan Guarantee, Payment and Security Agreement. These parties claim breach of that Agreement and damages of approximately $2.3 Million plus interest. The assignor and assignee also sued the Company’s directors and a past director and an affiliate shareholder for breach of fiduciary duty, claiming damages as alleged creditors arising out of these parties' alleged participation in Northstar Biotech Group, LLC, a secured creditor of the Company."

Doesn't look like anything is "better" or "getting better" to me? Not in my opinion. Looks as dire as it's ever been to me. They aren't tapping some desperation lender like Magna IMO, cause things are going great or anything?