Ocata Therapeutics Inc fka OCAT

[rocky301]

“For the past three years, the monthly amortization of certain debentures and conversion to equity of other indebtedness has contributed to a regular supply of stock that has adversely impacted trading."

This has been the majority of the problem here and it is nice to see the CEO say so in a PR. The filings show this has been going on since 2005-2006 so the 3 years seems light to me. For those already asking, "did we really pay off $33MM in one year?" ...NO. To put in context you will need to look at the 2009 agreement with debt holders.

(a)The Company acknowledges and agrees that as of the date hereof, the aggregate principal amount of the Indebtedness due under the Debentures is not less than $50,613,127 (inclusive of outstanding principal amount, original issue discount amounts and other amounts due and outstanding).

These numbers represent the TOTAL principal, all discounts interest etc for 2005, 2006, 2007 and 2008 purchase agreements.

Here is a more accurate statement from July of last year when we cut a deal with debtholders.

"As of the date hereof, the outstanding principal amount of the Debentures is equal to $12,835,804.70, in the aggregate, plus continuing and accruing interest, fees and costs under the Transaction Documents (such outstanding amount, the “Indebtedness”).
http://sec.gov/Archives/edgar/data/1140098/000114420409040193/v155587_ex10-2.htm