Replies to post #26173 on Integrated Freight Corp (fka IFCR)

[eddy2]

A poet is among us. Nice job bud.

I would like to take a moment and talk about trinsic and none trinsic assets and how they are valued differently.

Let's take trinsic assets that are valued on there merrit of value to a industry. An example is a truck and that particular value given by the trucking industry based on projected revenue available purchase, running costs and over all capital cost the trucking industry can afford to pay per mile to move a pound of freight and the liability attached to the truck as to if the delivery can be made on time.

Now there is the driver, the asset that has no value except what it can generate in revenue above its cost.

So from our talks as assets with trinsic value drops in value the depreciated value is removed from the total revenue and given back to the company. Now you may ask your self how this is done. Well in simple terms the subsidiary company that the asset is held in charges the operating company the depreciation amount. In other words it's much like a lease agreement between the two entities.

Don't forget this is also were the company obtains its collateral as well the leasing company can obtain a loan from the opporating company as well in return for interest on its capital granted not much in the market we have today.

So then all employees are under the opporating company as well lease improvements ect.


Now if the opporating company is running a deficit to the trinsic asset entity it will show up as a capital surplus and retained earnings to the opporating company.


So then you would have a positive depreciated assets in cashflow as well an increase in debt owed to the equity holders of the said trinsic assets. This is a liability to the operating entity and a cash receivable to the leasing arm of the entity that holds the trinsic assets.


So what does the public own of these two entities mentioned. Well to be a public company you must own 51% of each of the forementioned entities nothing more and nothing less that can be discovered in the SEC rules set out for share holders.

Now if you take the words in the ruling on its literal terms it says as long as the public interest is 51% of the combined revenue interest then that is equivalent to holding 51% of the individual companies that form your zero sum play in the market place.


So boys and girls read up on the SEC rules at your local library and do your own DD as to if there is any truth in what I'm saying to you today. I have been accused of twisting the truth from time to time from my business partner Ed.