There are a couple of recent things from the recent 10-Q worth mentioning: one is that they have paid in April $125k to fully settle a legal complaint from Fall 2015 by a former VP. On the positive side, Singapore Metal will be paying them ~$280k for services and paying back an advance of ~$3.49M:
On the second matter: from the 10-Q:
On June 10, 2016, the Company entered into a Memorandum of Understanding (the “MOU”) with Singapore Metals & Minerals Pte Ltd. (the “Buyer”) and Galasi Jernsih Sdn BHD (the “Seller”), whereby the Buyer will purchase 3,000,000 metric tons of bauxite per year from Seller, subject to the results of certain tests in order to satisfy the Buyer’s requirements. Both the Buyer and the Seller agree that the Company shall be appointed as general agent to handle logistics and transportation including ocean shipping and inland transportation for both sides, and all door-to-door transportation services for the shipping of the bauxite to be sold by the Seller and to be purchased by the Buyer as referenced in the MOU. On the same day, the Company signed a supplementary agreement with the Buyer, stating that the Company shall assist the Buyer in handling transportation services from the source mine to dock to help the Buyer to fulfill the delivery favorably and close the deal smoothly; in connection with this supplementary agreement, the Company agreed to make advance payments for freight charges on behalf of the Buyer, while the Buyer agrees to repay the advances to the Company according to the progress of the cooperation.
On April 15, 2017, the Company signed a Supplemental Receipt Agreement with Singapore Metals & Minerals Pte Ltd. Pursuant to the agreement, both parties agreed to terminate the MOU, and Singapore Metals & Minerals Pte Ltd will return approximately $3.77 million (RMB 26 million) to the Company. This includes approximately $3.49 million (RMB 24.09 million) advanced freight expenses paid by the Company, and the remaining $0.28 million (RMB 1.91 million) will be recognized as net service revenue for the Company in the fourth quarter of 2017.
[--I.e., the present, ongoing quarter. If it went straight to bottom line, this would add 0.028 EPS.]
