Replies to post #15012 on American Scientific Resources (ASFX)

[poster44ny]

All companies put a disclaimer against "gauranteed results"

So morons can't file law suits

Seems they have good products to wholesale to major retailers

[TheBullTwit]

bear, first, thanks for taking the time to do your DD. Those financial reports, the 2008 Q reports, and the Shareholder report all have some VERY intersting information in them about the financials.

Here's what happened, in a nutshell, from what I have been able to figure out.

a) The company had financial problems in 2007
These problems seemed to me to be from real-estate costs, research into the other product lines, and basic start-up/acquisition costs of product

b) Barrington Ventures stole the QVC Deal
Kidz-Medz was about to do a deal with QVC for 7500 units of Thermofocus when QVC found out they had just bought units from BV, so they pulled the kidz-medz deal. This was one of the two triggering events that caused the first 'breach of contract' lawsuit to be filed against technimed.

c) Walgreens withheld payment
Due to the litigation, Walgreens decided it would hold payment on all sales of the thermofocus until the lawsuit was closed. Because Kidz-Medz had an agreement with Walgreens on a "we get paid when you sell it, and not before" agreement, Kidz-Medz had about 1M in inventory sitting in Walgreens all across the company, and was not receiving any payments.

d) The company had to issue shares to pay debts
I believe due to lawyer fees, loan payments, etc - the company issued about 70M shares to cover expenses.

e) Walgreens paid their bill
Walgreens has paid their bill and now the company has all of the outstanding payments received

f) Babies-R-Us ordered twice and paid
The company has those profits from the units sold at Babies-R-Us.

g) Orders have picked up on the web-site and through other channels. The profit margin through these channels must be almost $40!

So, Here's what I believe we'll see in the EOY Financial Report

1) the company renegotiated whatever loans they had open still
2) the company is showing good profit on units sold
3) the overall company may not be profitable, just due to old debt, but that will depend on December units sold and PO's paid before EOY
4) the company should show settlement information from the technimed suit
5) the company should show updated share counts and that the share count has not increased
6) the company will show what they have in inventory and have ordered.

If the Shareholder letter is any indication of the type of information we'll see in the full year report, the company will be very open about how they've engaged legal, are co-fighting the suit, if they've added investors or board members, etc.

I've spent a lot of time pouring over documents and trying to tie companies together. I also know that Sir Joke is trying and has done a significant of due diligence on Technimed and other related folks. The information is out there if you dig around - lol.

(all of this is from the top of my head - at work - so hopefully its all accurate - and if there are opinions in there - they are my own)

[rjbluesky]

bear, take a look at all the information in IBOX. You will see the company currently has a $5 mil non-dilutive credit line in hand. The company has come a long way since mid-year.