re:gov't can be all over ethanol, but how does xlpi get any money?
I guess that's the problem. They already got (borrowed) a big pile of money, spent a little of it wisely, blew the rest. Now it appears they have bills they can't pay due to no cash reserve. They weren't performing, the equity used to secure the loan, collateral, if you will, has been "foreclosed", sold at public auction, in effect, perhaps comparable to a bank dumping a house after a mortgage foreclosure. They don't actually want to live in the house, they just want their money (back). In this case, I suspect that these big block outfits are pretty good at covering themselves by now, so, maybe they are done now. The equity financing door for xlpi, appears to now be closed, though.
I guess the question should be, how will they get _more_ money?
Revenues from sales of flex units:
The government could waive or fast-track approval for flex devices but one will notice that sort of thing only seems to happen when it benefits some potencial voting block or entity with ability for campaign contributions. There is the green factor but critics point out that ethanol currently uses a lot of fossil fuel to produce, true or not, it's controversal.
Which leaves the "farm" ( i.e. agribusiness) lobby. I noticed in an article on the president's recent tour to Brazil etc on ethanol, free trade, he is quoted as proclaiming "...that item is non-negotiable.." in regard to repeal of the .50+ tariff on imported ethanol. Until eth gets cheap compared to gasoline there will be no general public clamer for ethanol/ ethanol devices. So no help there.
I suspect that it will come, but, no political value at present. Who can say when the next catylist event will be. Crude actually went down again - who would have thought?
Sell some asset(s) off -
if there is anything left of value. How much of the stuff bought for the "pipeline" is worth what was paid or committed for? I can't help picturing our once-upon-a-time "pie-in-the sky" optimist ceo paying way too much for rights from other "pie-in-the-sky" stuff from other overly optimistic "entrepeneurs".
Hey - I notice Scott shows last price for XLPI at 0.00
After I find the infinity symbol on my keyboard I plan on putting a bid in for an infinite number of shares at 0.00 (I can afford that!) If it goes up at all I will be infinitely rich!
<g>
Remember the "six stages of a project"? We used to have this up on the wall of the engineering section at a corporation I used to work for. It also applies to pink sheets.
1. Enthusiasm
2. Disillusionment
3. Panic
4. Search for the guilty
5. Punishment of the innocent
6. Praise and honors for the non-participants
Only, #4 would be blaming shorters and people who sell for all our problems. But, I think it's a little like all the people defaulting on ARM mortgages now. Maybe a few were just too gullible, maybe even conned, a few managed to run a fraud the other way too, evidently, but most were probably just too optimistic, the risks were pretty plain but they chose to ignore them. I suspect xlpi is suffering the result of entering into risky financing (risky for xlpi & us shareholders not so much the lenders - who probably borrowed money themselve but just had slightly better credit, of ocurse they would dump/short shares, they never would have loaned out money if they didn't have various means of not losing out). Nobody forced us to buy, after all.
5. If I sell my remaining position for essentially zero, who am I punishing? me, i guess. I'm a bit surprised there hasn't been a hew and a cry through xlpi boardland here for the usual class action lawsuits etc. guess its too deserted. Perhaps too obvious it would be like beating a dead horse. Actually, the lack of "professional" bashers (and/or) pumpers has been a bad sign in a way. Not enough interest either way.
6. At least pat ourselves on the back for not buying more than we did. Whatever the amount, we probably could have bought more, how smart of us not to. (let's give ourselves a little "break" here)
All I can say now is that
1. Bill should put together a detailed report of just how bad off the co. is. Actual financial figures. At least shareholders would have something to work with. A basis for a possible decision to possibly buy more stock. Right now? Like they say, snowball's chance..
2. Outline a plan to implode the farflung grandiose vision projects down into a single point (suggest preserving xlpi flextech units). we would at least be on an even footing with the competition if we were not totally broke/unpayable obligations.
3. Wait for the spike in gas prices
4. Then, PR the heck out of the promise/benefits of flex tech.
There is potencial appeal: environment, cost savings to consumer, even patriotic: "stop buying oil from those foreign devils..." <g>
5. Raise frugally small amounts capital only through sales of shares to the public, no CD, etc package deals to investment outfits. It will be a trickle, slightly dilutive again but not endlessly dilutive.
Show how any new capital is actually growing revenues i.e. periodically put out financially detailed reports and operations reports (to shareholders).
6. Actually show some net profit. Here again, via beleiveable reports. maybe even get an outside audit, even via a cheap mickey-mouse audit firm would be an improvement...
oh well. spending too much time here posting on these wacky pinks. have to finish lining up some actual hopefully viable trade plans for tomorrow. the daily ritual...
Still can't resist reading boards on a couple of other pinks I have. With all the pumpers and bashers, these go beyond "story stocks" -- more like "drama stocks". Probably worse than the fact that most turn out to be money losers is the soaking up of time that could otherweise be spent on DD for thriving co.'s. Then again, people waste a lot of time watching bad TV, and money on tickets to so-so sporting events, bad plays, stupid movies, booze...
