World Surveillance Group Inc (fka WSGI)

[WarpCore61]

"Take the first six months of 2006. Centerline sold $43,847,167 of minutes which cost them $43,361,482 for a net gain of $485,685. Taxes alone on these sales pretty much wipes out any hope of profit."

I believe you're in error. The taxes would be calculated on earnings, not on sales. It's possible to have positive cash flow while still not being profitable, as depreciation and amortization costs would be deducted before profitability is established. These charges are for money that was spent in the past, and do not affect the current cash flow, only earnings. It's very likely there are no taxes being paid on revenues from Centerline at present (negative net earnings), but the positive cash flow is what's keeping the company from having to issue more shares to raise cash. The actions over the past several weeks are management's actions to get very lean and mean while continuing to use the available cash where it can best work to get the company back on it's feet... namely use it towards the JV and the airship.