Well, lets look at the company objectively. Revenue for the nine months ended September 30, 2008 was $80,934, a decrease of $219,066, or 73%, from $300,000 for the same period in 2007. This was a result of a decrease in government contracts.
Revenue for the three months ended September 30, 2008 was $0, a decrease of $100,000, or 100%, from $100,000 for the same period in 2007. This was a result of a decrease in government contracts.
Operations were funded primarily from the borrowings of promissory notes of $537,500.
They have been chronically late in filing their quarterly 10Q and annual 10K reports, and their annual report showing their 4th quarter which ended on Dec 31 should be out by the end of March unless they file an extension again. I’m choosing to wait and won’t be adding to my position unless we get an NR from the company indicating they have more contracts or their annual report shows income for their 4th quarter. It has been since October that the company has issued any news regarding the company and that was to announce that they are now approved by the U.S. Navy to serve as a subcontractor on the U.S. Navy SeaPort-e Contract. What if any work has been granted to them will be revealed in their annual report, however a company can’t live on only 1 contract very long. They have stated that they are looking beyond government contracts to stay afloat and rightly they should. However you can't exist on borrowed money very long. I’m just concerned that there are very slim pickings out their right now and apparently that’s what the market has been telling us based on the stock price.
Makamai
