CN, I do not follow your logic. I do not think Mr James has discretion to report revenue in Q4. It is more mechanical than that. If the retailers are restocking then the Revenue can start to be recognized (as I understand it), with maybe some adjustment for returns from retail customers. There will not be a double booking, shipments in the current quarter will, for the most part, remain deferred revenue next quarter. All that happens is a deferred period of recognizing revenue. The should be no bunching or double counting. If we do not see at least the full amount of deferred revenue becoming revenue next quarter we have an issue. So assuming they can recognize all of the current deferred rev plus some of the other sales that they can recognize more quickly (Bikini Ready, Surgex, SlimTrim) we should be seeing over 1.6 million top line revenue next quarter. With growth it could be bigger. Am I missing something.
If we are recognizing costs, like shipping, immediately, as we continue to grow we will have a bit of a cost mismatch with revenue and expenses. (shipping a larger quantity each quarter, but having to wait a quarter to recognize the revenue) Hopefully this will be a small number.
