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Re: None

Thursday, 06/07/2012 9:16:11 AM

Thursday, June 07, 2012 9:16:11 AM

Post# of 94541
The fact of the matter is that this company is in shambles. They have no revenue. Their balance sheet is such a mess that there is no way they will be able to secure any type of non-dilutive financing. They are in default on several of their previous loan agreements, which could be accelerated at any time. That means they have two options to continue to pay their inflated salaries:

1) Sell shares directly into the market.
2) Enter into highly dilutive (death spiral) financing agreements.

Both of these options are bad for investors. There will be opportunities to make money on this stock with well-timed flips here and there, but buying and holding is a poor strategy, IMO.