Valcom Inc (fka VLCO)

[Bucks4Buckeyes]

Please explain how...

It appears that Valcom is using some of the $600K from Tri-Partners to assist in funding the collection process of royalties due ValCom from ASCAP and BMI .

Since the 10-Q states:

In a financing agreement by and among the Company and Platters, and Tri-Partners, LLC, a New Jersey limited liability company, Tri-Partners agreed to provide a $600,000 loan to Platters to fund the facilitation of the transfer of the audio library to digital media along with other related uses, provided that the Company guarantees repayment of the loan proceeds. The loan bears interest of 0.46% per annum and is due on or before June 19, 2013. The loan amounts are to be provided in three $200,000 tranches; the first tranche occurring upon signature of the agreement with the second tranche to be provided September 11, 2011, and the final on January 1, 2012.

I don't know what I missed there, please clarify how the Tri-Partners money is NOT going to fund the digitizing of the most valuable commodity that VLCO owns in order to make it instantly available for revenues?

TIA