1812 Brewing Company Inc (KEGS)

[THall]

Let’s absolutely torch this delusional nonsense using KEGS’s own numbers:

“About 11 million Unrestricted Shares added to the O/S...”

Yeah, and that little “11 million” just casually ballooned the float from around 3.7 million to over 14 million. That’s not “minimal dilution” — that’s a fourfold explosion of supply. But sure, keep pretending it’s bullish.

“We will know in about 4 weeks who has received the 100 million Restricted Shares...”

You won’t know anything. KEGS hasn’t filed a proper 10-K or 10-Q in over 15 years. Their Exchange Act registration was revoked ages ago. No required public filings = no transparency = you’re flying blind. But hey, four weeks from now you can keep refreshing thin air.

“PPS is at half a penny while sales are increasing...”

And still somehow losing money. KEGS reportedly brought in just over $1 million in revenue over the past year — and still managed to post a $1.23 million net loss. That’s not growing — that’s burning cash faster than they can dilute the stock.

“Fixed assets alone worth 7-8 times current market cap.”

Let’s do some real math. Assets total roughly $3.1 million. Liabilities? $16 million. That’s a negative book value of over $2 per share. In other words, they owe more than five times what they own. You’re not sitting on undervalued gold — you’re clinging to debt-ridden scrap.

“KEGS is profitable, no-one has disputed that.”

Wrong again. The latest data shows a $1.23 million loss and negative EBITDA. You can shout “profitable” all you want, but the math says otherwise. There’s no profit here, just more losses and more dilution.

“KEGS is real, no-one has disputed that.”

Yes, and so is Enron. “Being real” doesn’t make a stock worth owning. KEGS is real in the same way a collapsed brewery is real — it exists, it just isn’t viable.

“I will continue to hold and add shares when I can!”

Of course you will. Because that’s what happens when you’re too deep in the red to admit reality. Holding isn’t conviction — it’s denial.

Next time, spare everyone the rah-rah routine and just admit you’re averaging down on a stock that insiders are bleeding dry. KEGS isn’t under the radar. It’s under water.