Replies to post #6602 on Royal Spring Water (fka RSPG)

[BillionStack]

8.5 million was the listing price but it is all spelled out in the SEC filing:

The Company has determined that the Lease meets the criteria set forth in
paragraph 7 (b) of Statement of Financial Accounting Standards ("SFAS") No. 13,
Accounting for leases, requiring it to be classified as a capital lease. To meet
this requirement the lease must meet one of four specific criteria, one of which
is the existence of a bargain purchase option, defined as a provision in the
lease allowing the lessee, at our option, to purchase the leased property for a
price which is sufficiently lower than the expected fair value of the property
at the date the option becomes exercisable, and that exercise of the option
appears, at the inception of the lease, to be reasonably assured.


Billion