EcoloCap Solutions Inc. (fka ECOS)

[deal guy]

Here is my two cents.

The change in accountants is in large part about the exercise of the warrants.
- in order to issue shares for the warrants, ECOS needs to be up to date on its SEC filings
- the new accounting firm will need to audit the unfiled 10-q's and 10'k's and they will need to be filed with the SEC. (I wouldn't be surprised that these are all filed by mid to late March). They likely need a couple hundred thousand dollars to et this work done
- my guess is we will find out that MS and his buddies sold some shares into the market to raise cash to pay for the audits by the new accounting firm

If they can't bring themselves into compliance to allow LRS to exercise the warrants then the LRS deal would need to be recut. ECOS needs the cash from the warrants to pay for the equipment so my guess is that doesn't happen.

If the warrants are going to be exercised expect to see a tick up in volume toward the end of the month with the stock bouncing up to .0004/.0005 on high volume and then back to .0003/.0004. Remember we don't really know how much paper Tonaquint still has left and might also be selling short into the market to satisfy their convertible notes.