Based on the poor economic conditions prevalent in the construction industry and the Company's on-going losses, as well as other factors, the Company's independent registered public accounting firm included an explanatory paragraph in its report on the Company's financial statements as of and for the year ended December 31, 2011, raising substantial doubt about the Company's ability to continue as a going concern.
S. Daniel Ponce, Imperial's Chairman of the Board, stated: "The market demand for our products in 2011 continued at near historic lows. Unless demand for the Company's products increases significantly, the Company's operations will not generate sufficient cash flow to support operations in its current condition through the balance of the 2012 year. We are actively seeking debt and/or equity financing to provide additional funds for operations to maintain liquidity until construction activity increases and operations become profitable. There can be no assurance that the Company will be able to obtain such financing.
