Cavico Corp (fka CAVO)

[silentgold]

Audit, Revenue and trading

being that the audit has taken so long one might assume that there were descrepancies in their accounting procedures that don't comply with the US GAAP requirements. So corrections would have to have been made and verified by the audit team after demonstrating them. That could be one of the reasons the audit is taking so long.

Their reported backlog of revenue was also misleading since it included 2 subsidaries that were spun off and now trade on the Ho Chi Min stock exchange. Yet they continue to mention in subsequent releases contracts that were awarded to these 'separate' companies.

However, they do hold stock in both spun off companies so the value of that would be reflected in their financial reports, but not the net income of the 2 companies. Does anyone know how the stock of these 2 companies has been doing? Maybe someone should ask Henry or Timothy as they should know this information.

A clean audit should enable them to start trading again as a Pink sheet if the necessary SEC forms are filed that resulted in the termination of trading.

Additional SEC paperwork would probably be required to go OTC.BB and it is unclear exactly what all SEC forms are being worked on.

Nasdaq listing would be later and the current price is below that required by NASDAQ. Perhaps Amex could relist them.

Bottom line is that they are a long way from being recognized as a real credible Viet Nam company for trading on a US exchange.

US investment money is one thing they hope to get but they are a long way before any reputable fund manager buys stock.