Drinks Americas Holdings, Ltd. (DKAM)

[Toxic Avenger]

I think you have it backwards. If you can't make money from high margin spirits, low margin beer isn't the answer. Every dollar spent on advertising is that many fewer cans of beer produced. Do you think anyone will produce without being paid upfront? The company has huge liabilities, the last thing a beer brewer wants is to be out tens or hundreds of thousands of dollars.
So, produce beer, market and advertise it, or expand distribution? No matter what DKAM does, it will require selling shares because they have a huge negative cash flow. If they expand and advertise, but then don't have enough money to produce, they're in trouble. Produce and limit advertising? Unsold inventory risk.

I never understood why they didn't simply work with Mexcor to make the spirits biz profitable. Clearly Mexcor thought they could do it AND pay DKAM a nice royalty. Instead, DKAM took it's limited funds and started an entire new line of beer, a product which is more capital intensive than the spirits biz they just exited.

I supposed from a SH POV, anything is preferable to liquidation, but a 99% loss is really not that much better and at least with liquidation, you can't lose any further investment.

Good luck.