Please provide a picture of the 20,000 sq ft production processing facilty.....and I know that the art business was a potential....and now it is a reality....oh wait...they haven't had the second closing...oh I know the fuzzy math scam....from the filing.....
IPA China owes $19,000 to an employee of IPA China at September 30, 2009 which is shown as a Related Party Payable in the accompanying consolidated balance sheets. In addition, the Company owes $25,000 to its Parent Company at September 30, 2009 related to expenses paid by Parent Company on behalf of the Company.
Framed Artwork Segment
Of the total amounts, the framed artwork segment had decreased income from operations of $427,000 from 2008 to 2009.
Risks related to our framed art business
We are heavily dependent on one major customer for our revenues
For the nine months ended September 30, 2009, sales to one customer, Hobby Lobby Stores, comprised 75% of our total revenues. We believe this concentration of sales to a small number of customers will continue in the near future. We do not have a long-term contract with Hobby Lobby Stores. A loss of Hobby Lobby Stores as a customer or even a dramatic reduction in sales to Hobby Lobby Stores could significantly reduce our future revenues.
We may not be able to compete with existing or potential competitors in our framed art business
The visual content and art framing businesses are highly competitive. We believe competitive factors include quality of images, branding, reputation, service, breadth of content, depth of content, technology, pricing, and sales and marketing. Overall, many of our competitors are significantly larger, have far greater resources, a notably larger customer base, a far greater content provider base, significantly more technology infrastructure, and more well-recognized names in the marketplace than we do, all of which may make it difficult for us to compete effectively.
The value paid by VIASPACE and VGE for the acquisition of IPA BVI and IPA China was $15,832,000. The IPA BVI and IPA China net assets acquired totaled $3,003,000. The excess of value paid for the acquisition in excess of net assets acquired is recorded on the balance sheet of VIASPACE and was assigned to: grass license - $507,000 and goodwill - $12,322,000.
GLTA
