Wednesday, November 03, 2004 1:23:04 AM
Below is an excerpt from a recent article, this spells out why there is great risk with GZFX as an ongoing concern.
Where is the cash going to come from to keep it afloat?
This is not a bash, but a real issue.
.............................................................
"It's no sure thing that GameZnFlix will survive to see the industry take advantage of that promising dynamic, though. The company said in a recent quarterly filing that it has "a substantial need for working capital" that, combined with other factors, "raise substantial doubt about the company's ability to continue as a going concern."
GameZnFlix posted losses of $4.7 million in the first half of this year on revenues of about $58,000. Officials say losses of this scale will continue for at least the next six months.
Complicating things more is that a price war is starting just as Fleming and his team looks to establish their brand."
Where is the cash going to come from to keep it afloat?
This is not a bash, but a real issue.
.............................................................
"It's no sure thing that GameZnFlix will survive to see the industry take advantage of that promising dynamic, though. The company said in a recent quarterly filing that it has "a substantial need for working capital" that, combined with other factors, "raise substantial doubt about the company's ability to continue as a going concern."
GameZnFlix posted losses of $4.7 million in the first half of this year on revenues of about $58,000. Officials say losses of this scale will continue for at least the next six months.
Complicating things more is that a price war is starting just as Fleming and his team looks to establish their brand."
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