You didn't lose until you sell. I believe we will have a bounce along with a potential run, if we get good earnings in the middle of June. A big IF, but if you read:Royalty Income
The Company receives royalty income from licensing third parties to use its intellectual property. We have presented royalty income as a revenue offset to the related royalty expense and commission fees, in the financial statements. Previously, royalty income and offset expenses were shown within other income. Royalty income was not material to revenue in prior periods and was considered incidental. However, as a result of a change in our business model for this fiscal year and future periods, we expect royalty income to increase and to form a more substantive portion of the Company’s recorded revenue. For this reason, the Company considers that the revised income statement presentation, which reflects royalty income as revenue, will provide more reliable and relevant information than the presentation adopted previously. The 2011 income statements for the three month period ended January 31, 2011 have been adjusted to reflect the new presentation. During the three months ended January 31, 2011 there was no income related to royalties included in revenue. During the current period presentation, all income presented has been derived from royalties or commissions on sales under license agreements.
Recent Accounting Pronouncements
AI
