From Seeking Alpha Q4 2011 Transcript:
So big improvements in cash, big improvements in receivables, no significant dilution this year, and we don't see anything coming in the near term. We've got additional warrants that expire in January. We'll get another $10 million and expect the burn to be manageable between then and now. So very excited about that as a business.
As we enter fiscal '12, coming off a $41 million booking quarter with strong bookings again in Q1. Obviously, that gives us a great position from which to start the year. The U.S. shale gas and Russian Associated Gas markets continue to pay dividends as we penetrate those markets. The $34.7 million in cash gives us enough of the balance sheet to really run the business for this year. As I mentioned, cash neutral the last 2 quarters. (This seems like something that I've seen before in the not too distant past.)
On February 3, 2012 Capstone files an S3 for the issuance of 100 million shares.
USE OF PROCEEDS?
"Unless we indicate otherwise in an accompanying prospectus supplement, we intend to use the net proceeds from the sale of the securities offered by this prospectus for general corporate purposes, which may include, but are not limited to, working capital, capital expenditures, acquisitions and repurchases or redemptions of securities. When particular series of securities are offered, a prospectus supplement related to that offering will set forth our intended use of the net proceeds received from the sale of those securities. We will have significant discretion in the use of any net proceeds. The net proceeds may be invested temporarily in short-term marketable securities or applied to repay indebtedness outstanding at that time until they are used for their stated purpose."
My Question is the 9 million shares for keeping management happily employed coming from the above mentioned offering that we were told wouldn't be necessary in the first place?
AI
