Gee the company just sounds so worried about the increase in generic revenues while they cut into R&D costs.
Moving over to the cash flow statement, we had a net cash burn from operations of little less than $800,000 but that includes almost $450,000 in inventory buildup. Our volumes are growing, we have to buy more materials, we have greater inventories, so this is just a normal buildup to support the growing manufacturing volumes. So the operating burn was really not material.
Looking further down the cash flow statement, it also shows that we invested another $300,000 in facility and equipment during the quarter. These are investments in our facility expansion that will enable us to support our growing volumes and business. It’s important to be proactive in this area and we are. Not enough to forecast increased volumes, we also need to ensure that sufficient resources are in place to service these volumes.