There are no reasons, other than strategic, for a company to change its year-end to coincide with the year-ends of its subsidiaries. You do it is so that you can include the subsidiaries on a consolidated basis with the same year-end.
Prior to its change in year-end, 12 Retech had a November 30th year end. It is my understanding that as a result of that Novemeber year-end, it would only be able to include the subsidiaries as of the prior December 31 (the year-end of the subsidiaries).
By adjusting its year-end to coincide with its subsidiaries, the parent company can include the subsidiaries on a concurrent basis.
That is, there are no timing differences or delays in including the results of the subsidiaries.
There is no regulatory requirement for the parent corporation to have the same year-end as its subsidiaries, thus the change in year-end was done for STRATEGIC reasons.
I believe that strategy will begin to unfold in the upcoming weeks and months. Our next clue in the transformation could come as early as this week.
It is pretty clear to me, that this is not a mere shuffling of papers and that the company has future aspirations.
Lets not forget that our CEO has plenty of monetary incentive (146 million common shares if he converts his Pfd shares) to ensure that he gets on with it and is not merely shuffling papers.
At $2 a share our CEO, if he converted his preferred shares, could receive a potential $290 million. Sounds like plenty of incentive to me to do anything but "shuffle" papers!
