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Re: Imperial Whazoo post# 217206

Wednesday, 03/06/2013 2:43:23 PM

Wednesday, March 06, 2013 2:43:23 PM

Post# of 312030
claim that JBI has to use clean, sorted, and/or washed plastic as its feedstock.

Here's what happens when they do not use clean, sorted plastic:

Additionally, during both July and August of the third quarter of 2012, we experienced issues with feedstock quality in the system that caused downtime. These issues resulted in the need to shut down the processor down and perform a full system clean out in order to remove the material causing the issues. The inability to process feedstock during these periods was a significant factor affecting our ability to generate more substantial revenue for the quarter. In September 2012, we were able to identify and remove the problem sources from our feedstock supply chain.

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Here's how they solved the feedstock supply chain problem:

The cost of sales during the third quarter 2012 was higher than in the prior periods primarily due to the processing of a significant amount of a particular feedstock that we were able to secure in large volumes and allowed us to maximize our processor up-time and revenues primarily in September 2012. This was a crucial short-term strategy to provide us with key data as we continue to enhance our production roll-out strategies. Our longer term strategy regarding this feedstock is to identify sources and channels at a significantly lower cost than paid during the quarter, in order to not only maximize revenues and processor up-time, but also to maximize our gross profit.

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That is: They bought the good stuff. Some of it from Entec Polymers, apparently.

But tonight I say, we must move forward, not backward; upward, not forward; and always twirling, twirling, twirling towards CFP!