Replies to post #9385 on Jammin Java Corp (JAMN)

[Brophtron]

The current market value of the stock is under $1 million.

Their assets are $2.4 million

Their liabilities are $6.5 million

So the inherent value of the company is negative $5 million.

JAMN currently has no right to use the Marley Coffee name; they're losing retailers left and right. Much of the $6.5 million liability is accounts payable, much of which is owed to MP themselves - so they would be buying a company just to buy their own debt.

Supposedly they paid the $700K they owed the SEC for the violations. Since they didn't have the cash in order to that, they may have taken on new debt that hasn't been listed yet, so the inherent value might be lowered to negative $6 million.

So if MP bought the company, you'd only get the .5 cents per share; no different from the current value. And they'd pay $1 million to owe $6 million, some of which is money that they're already owed.

Explain to me again why you think it would be a good deal for them.