CaliPharms Inc (KGET)

[Snakebit95]

I guess my primary point was that if the equipment costs more to operate than the competitions equipment, and the margins are rather slim, it may be difficult to compete in the market place. Not all equipment is created equally. Costs associated with manning the equipment (how many operators are necessary versus how many automated processes), maintaining the equipment (consumable comparisons), how much energy per unit of pellets is required (aka energy bill), and the list goes on. All of these items factor into the pellet price; regardless of whether they are wood or refuse pellets. In a highly competitive industry with slim margins, old equipment can be a losing battle. Not saying that is the case here. A highly detailed cost analysis by an industry expert would be mandatory before making such an acquisition.