NorthWest Biotherapeutics Inc (NWBO)

[Red_Right_Hand]

I imagine this has been discussed before, but do we fully understand when a dollar handed over to Advent by a patient is recorded in NWs books? A lot of the math people are floating for potential specials program revenue assumes that 100% of the amount paid for receiving DCVAX-L treatment is realized by NW on the first day of treatment, but that can't be true for at least a few reasons.

First, from the Advent fee sheet we've seen, patients pay portions of the total cost based on the steps completed in the multi-step treatment protocol, with each patient's treatment protocol extending across many quarters. Second, although Advent may realize the (portion) payments when they receive them, NW will not realize them until they receive the payment from Advent. How often does Advent reconcile with NW? Monthly? Quarterly? Any arrears? (Or are the patients billed by NW and pay NW directly?). Third, what are the payment terms for the invoices patients receive? Due on receipt? Net 30? Net 90? Fourth, does Advent transfer 100% of the payments they've received from patients to NW, or do they keep some/their portion?

Point is that it's not possible to say that if NW reported 400,000 in specials revenue in Q1 then that means two specials patients were treated in Q1. There are all sorts of lags and each quarterly number is a total of portion payments received from multiple patients who are in various stages of the treatment protocol, plus the delay between Advent's realization and NWs realization. The first payment made by a patient who begins treatment on January 1st may not hit NWs book until several quarters later and the last payment made by that same patient may not hit NWs books until several quarters after that.