CareDecision Corp.

[snow]

What explains the big losses?

This is just my guess. I assume a wholesale business can do business in a conservative and in a speculative way. The conservative way would be to only do deals when both price and quantity are agreed with both sellers and buyers so that one can be sure the deals will be profitable.

A speculative way of dealing would for the wholesaler be to buy a certain quantity of drugs at an agreed price before it has entered into contracts with buyers at the retail side. If the wholesaler evaluates the market wrongly it may have to sell the drugs for less than it has purchased them for. This is a risky way of doing business. Possibly this is why Mr Kelly has run up big losses in his wholesale business.