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Re: program-4-you post# 25178

Saturday, 08/01/2009 10:49:49 AM

Saturday, August 01, 2009 10:49:49 AM

Post# of 111729
program... For every system we sell, we'll be collecting royalties on the algae produced and sold from it. So, initially it seems that the biggest dollars will come from PBR sales ($86,000 profit for each unit a distributor sells), and gives us good cause to want to sell early and often. At some point, I agree, most of our dollars will come from maintaining systems and collecting royalties on algae sales, but initially the focus is getting the systems set up.

Dennis also said on the conference call a few weeks ago, that in addition to just selling/maintaining PBRs through their distributors they'll also be setting up their own algae farms. there's multiple revenue streams connected with each PBR sale they make, and higher margins (but fewer revenue streams) when they produce algae themselves. Seems like Dennis is prepared to handle each situation on its own and decide what makes sense for BEHL at that time, because they don't have to produce their own algae if they choose not to.

Anyway, I think most of us here agree that there biggest problem may be keeping up with demand.