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I said their expansion plans "come with hard

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lesgetrich Member Profile
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lesgetrich Member Level  Tuesday, 05/14/19 01:13:16 PM
Re: None
Post # of 4759 
I said their expansion plans "come with hard assets". In other words, they will shortly own one or more factories with manufacturing equipment and inventory. These are hard assets that add value to the company.

For example, if you borrow money to pay your bills it detracts from your net worth, however, if you borrow money to buy a home, it initially has a neutral effect on net worth assuming you're buying the home at the actual appraised value. If you buy at a bargain price or the home appreciates, you've increased your net worth. Same principle applies here if ALYI gets a loan or sells stock to purchase plant and equipment. If it's done right it doesn't increase the likelihood of an RS.

Les
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