Sigma Labs Inc (SASI)

[alanthill]

"It is going to be most interesting and instructive to hear tomorrow if MC is going to give any kind of substantive guidance as to 1) when the revenues from this and other contracts ( i.e. Morf, unnamed European OEM, Woodard, etc) are going to begin to show up 2) what the rate of growth of revenues is expected and in a related but different topic 3) what the overall reaction was within the AmericaMakes group to the report."

Driftin I think it is well worth while pushing Mark on this point. Specifically how the contracts are structured. My sense is that the arrangement is that SGLB makes the software available for the OEM's to install on their equipment as an option for the purchaser. In effect the OEM is acting as a reseller and as such takes no real financial risk in offering the software. If the end user adds the SGLB option the OEM receives a portion (often a hefty portion) of the margin. If sales of the SGLB option is minimal there is no real financial impact on the OEM. On the positive side the OEM would not agree to offer PrintRite if they didn't think it would be an added incentive to sell their hardware. This is the reason Mark keeps talking about "expected"/"anticipated" revenue. Nothing has really been sold until the end users make a decision. I could be completely wrong, but he should be pressed on this point because I strongly suspect this is what is happening.