DNA Brands Inc (DNAX)

[Ed the Trader]

"Will the DNAX drinks be produesd by 
the distributers, or a plant of some sort? 
and if so.... where is the plant located?"

There has never been a dedicated production facility for DNA products. The volume of sales, even at its peak, would not justify such a facility.

Instead, production runs of DNA are produced on an as-needed basis by a custom bottler.

A production run would be stored in the DNA warehouse and shipped to distributors as needed. Only when inventory in the warehouse gets low, DNA would order the next production run from the bottler.

In the last PR, Adrian stated that he intends to obtain a climate controlled warehouse. This is something that DNA did not have under the previous management. Climate control would be more expensive, but will also buy DNA much more time with regard to holding product in the warehouse before it's freshness becomes an issue.

A large portion of the last production run of DNA was sold off to Big Lots in 2014 at a loss specifically because DNA was not going to be able to move the product out of its hot warehouse through normal distribution channels before spoilage started to become an issue.

This was part of the sabotage of a former CEO; he intentionally ordered too much inventory. He claimed he had new additional distribution deals which would justify sinking most of DNA's cash into additional inventory. He knew that DNA would never sell off that inventory before spoilage became an issue. Thus, he destroyed the viability of the business and it liquidated the inventory at a loss and became a dormant business.