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alliecorp

09/27/07 1:15 PM

#30028 RE: Stratey #30022

More answers to your questions will be coming in the form of PR's ... or else direct these questions to Spooz management. allie
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WhiteSahara

09/27/07 2:48 PM

#30079 RE: Stratey #30022

Stratey, revenue is the gross income from products or services. In SPZI's case, it would be the total amount of monies brought in through trading futures or derivatives with SWARM. Revenue does not deduct the costs associated for 141 Capital to generate that gross income. The rental space for the traders, their equipment costs, salaries, electrical costs, insurance, taxes, ISP fees and any other expenses must all be paid by 141. As a separate company from SPZI and a publicly held entity, they must abide by Generally Accepted Accounting Practices, GAAP. Even if they had no mandates to abide, why would they risk bankruptcy by paying on revenue rather than net income. It would be akin to killing the goose that laid the golden eggs.

I think virtually everyone expects very high revenue and net percentages. SPZI gets 7%, plus any appreciation of 141 Capitals stock. Is it a good deal for SPZI shareholders? Despite all the posts on this topic yesterday, no one knows. We don't know the percent of 141 we own, we don't know the amount of capital they will be trading daily. It is all to be revealed and we have two choices. Hold and be patient or sell. Good luck to you.