Asberry 22 Holdings Inc (ASHI)

[bernardsamuel]

At the end of the fiscal year, convertible notes and "derivative liabilities" total around $1,275,000 (there is no long-term debt). I would believe that this level of debt is on the smallish side for a company that I'm guessing will do about #14 million worth of sales in this fiscal year. The challenge is that they need to roll over a bunch of this short term debt into long-term debt and equity, as their current ration (the ratio of current assets to current liabilities is under 1:1 when a ratio of 2:1 has been the general minimum standard for what this ratio should look like). Don't ask me about derivative liabilities, as it will make my head spin (I retired before some of these accounting principles were promulgated).

More to come later on, but so far I would believe that this company should be valued at more, probably much more, than the roughly $1.5 million which is its current valuation, using 91 million shares outstanding times a closing market price of 1.63 cents.