China Recycling Energy Corp (CREG)

[Skinny Mulligan]

Is this company actually operating?

According to the financial statements there haven't been significant sales in the past 3 years. None on the last two. They somehow managed to sell new shares and get cash to $150M. They also appear to have sold all their fixed assets. Nothing on their web page or news articles about what they are going to do with this cash.

I bought in because of the favorable CFRA rating. Looking closer, all their source data seems derived from the SEC disclosures only. I'm second guessing their report now. The release today that their Audit firm quit doesn't help either.

However, if you take just their cash; subtract out ALL liabilities; then divide by the outstanding shares... The distributable amount is over $20 per share.

This just doesn't seem possible. I was beginning to think this was another Chinese scam company. But I've never seen one with sooo much cash. Can anyone tell me what I'm missing?