CV Sciences Inc (CVSI)

[GE_Jim]

Well, the 10Q. In a nutshell, it about the failure to sell enough. Sales are down 16 percent per the company but they raised the price point of their product to increase a higher margin, this during what most others are doing which is price compression. But I understand, they have no choice. They did 3.966 million in sales for the qt. Cost of goods sold was 2.248 million leaving gross profit of 1.7 million. Then comes SG&A cost of 2.758 million, got to pay management you know, which works out to a net loss to shareholders of 1.288 million. With sales slowing and the gov. handout of 2.5 million drying up they will have some challenges for the rest of this year.