Spongetech Delivery Systems Inc (fka SPNGQ)

[hasher]

8. Accounts Payable.

Spongetech advises that there are approximately $11,800,000 in outstanding, pre-petition accounts payable. The Trustee has not verified the amount of pre-petition unsecured claims. However, pursuant to the Bankruptcy Code, these claims must be paid in full prior to any return to shareholders.

Not good for the shareholders.. 11.8 mill has to be paid to everyone else first and they are beyond broke