Plug Power Inc (PLUG)

[Ag Boy]

Debt, Dilution or bankruptcy.

Debt - Plug already went out and borrowed 30 million and used 25 million to finance their loss/lead lease program for Walmart. Nice to use Walmart name in Marketing but eventually you need to make a profit on sales. Locked in loss growth is no way to break even. Banks indicated to Plug, no Bank Financed loss leader lease programs, do it on Plugs dime.

Dilution - Issue more shares for more cash to burn, Plug has a history of doing this by burning thru one billion dollars. Allows management to remain in place and get more bonuses that they set the criteria for. Most likely option.

Bankruptcy - Unlikely option as management has stockholder support for spectacular revenue growth even without profit.