Atlantic Power & Infrastructure Corp. (AWSL)

[Gilda99]

AWSL’s Q2-2017 is history, so where are we?

AWSL is treading water at about $.025 per share while struggling to achieve buoyancy and gain traction. However, two-bit status ($.25) is a challenge that remains out of reach for the foreseeable future until the financial reporting gets cleaned up and/or the insiders are fully divested.

https://www.otcmarkets.com/financialReportViewer?symbol=AWSL&id=172020

Discussion and Analysis of Financial Condition – page 3 or 4

“Management is pleased that the company has continued to expand its business focus and that working capital requirements continue to be funded by receipts from the general operations and thus without any dilution via stock issuance. Management continues to be willing and prepared to fund the Company if necessary as it has done in the past.”

Where are we now? It will be six weeks before we see any financials for Q2-2017, but here’s what I see. As of March 31, 2017, AWSL had only $451 in cash and it continued to operate at a loss going into Q2, which just ended June 30th. The only encouragement in sight is management’s decision not to continue the charade of booking increases in the AWSL's deferred tax asset (DTA); apparently $1.7M is enough and a critical and independent consideration regarding increasing the DTAs valuation allowance is asking too much of an accounting professional with a significant vested self-interest in the company.

At March 31st, AWSL had negative working capital of $494,000 and the company carried a grossly overstated deferred tax asset of $1,704,000, which accounts for more than the Company's entire stockholders’ equity of $1,423,000. Of course, it's a moot point, since the overstated equity is dwarfed by the overhanging preferred stock preferences of $5.5M. This has become a true Sisyphean challenge for the common shareholders, but here we are on Independence Day struggling to keep that large boulder from crushing you on its way back down that hill.

I guess that this is the nature of penny stocks, allowing hope to exceed reason and believing that history will not repeat itself. However, it appears that the odds would favor you to “invest” in Powerball, Mega Millions or Lotto, because there are actually a few real winners in those risky “jackpot investments” and you don't need to be an insider to win.

Go AWSL, Go!

Gilda