CURRENT LABWIRE DD
Labwire stopped filing financial reports after filing Q1 of 2009 so now the company has gone dark and is listed at pinksheets as "no information".
As of the last filing...
Labwire had for some time been struggling to maintain it's current revenue of about $4 million annually.
Labwire initiated severe cost cutbacks to reduce over head.
On top of what Labwire owes Jon Ginder ($280,000) it also owes Frost Bank a lot of money.
LOAN AGREEMENT WITH FROST BANK FOR $300,000 DUE FEBRUARY 13, 2010
LOAN AGREEMENT WITH FROST BANK FOR $241,932 DUE MARCH 4, 2011
That's a cash liability of $821,432 Labwire owes. And it could be more since the filings are a year old.
Jon Ginder has filed suit against Labwire for nonpayment of it's $280,000 debt to him. This information should have been reported but was ommitted in the last filing.
According to the last filing Labwire converted shares for old debt of 2.2 million and 1.7 million shares. That's 3.9 million free trading shares (dilution) when they sell.
The company has tried and failed twice to uplist to the BB exchange.
It's accounting firm Moore & Assoc. has been charged with fraud by the SEC. As a result all financial reports for the company are tainted.
CEO Dexter Morris in 2006 used Labwire money to start another Company, K-9 Security, of which Morris and another corporate officer, Eric Linden, each own 50%. The office and dog kennels for K-9 are at Labwire home office and Labwire does all the office work and bookkeeping for a 5% fee. The Labwire cash advances to K-9 for startup were over $250,000 and there is no record that was ever paid back. There was an accounting change and that item stopped being reported. Why isn't K-9 Security a wholly owned subsidiary of Labwire as it should be?
The last new contract was Evergreen Aviation announced about two years ago. The company has had no PR's in a year.
The wife of CEO Dexter Morris has a long term serious illness causing Morris to neglect business to care for her.
