Sgreg, sorry that it took until the conclusion of my Sabbath to get back to you, particularly because there is so much in your post with which I thoroughly agree, especially as relates to the peer-group comparisons of intrinsic and market value of the various companies in the peer-group. But let me address my one very minor disagreement first to get it out of the way.
With your permission, I'm going to stick to my guns for one last moment as regards the tranche-status of the Typenex loan. Let me quote back to you some 10Q language in that section relating to this loan:
"In consideration for the Company Note, Investor paid an aggregate purchase price of $1,600,000 (the “Purchase Price”), consisting of an initial cash purchase price of $200,000 and the issuance to the Company of ten promissory notes, the first two promissory notes in a principal amount of $100,000 each and the remaining eight promissory notes in a principal amount of $150,000 (each an “Investor Note” and collectively, the “Investor Notes”)."
Accordingly, I would believe that one might construe the $200,000 among the convertible notes payable as being that first tranche, or what in the 10Q is called the Initial Cash Purchase Price.
Continuing with the major theme of this posting, which is how emphatically I agree with you on your opinion of this stock, I would suggest that there is one more metric that stockholders might keep an eye on, if indeed the company will do any current reporting on this. That metric is Officers' Loans Payable. I believe that the Company is highly likely to be tapped out on short term financing sources, given the exorbitant annual percentage rate on the BofI loan. If the officers are feeding more of their own money into the company, on the one hand it is good that they would be putting their money where there mouths are, but it would be a troublesome metric nonetheless as regards the coordinated pictures of Revenues, Inventories, and Accounts Payable.
Sometime I think I'd really benefit from learning how you strike your own balance between the concepts of "buying the fear" and "don't fight the market." It's clear from your most recent post as well as from earlier postings that you've really munched this around in your mind quite a bit.
Have a great week, sorry that I've been so wordy here but hope I haven't wasted your time...
