Replies to post #119710 on Spongetech Delivery Systems, Inc. (fka SPNGQ)

[Saigon]

Damn...I'd like to keep that higher lows intact.

[Tavycal]

From the 10Q filed


http://www.sec.gov/Archives/edgar/data/1201251/000114420409021409/v146656_10q.htm


5. Accounts Receivable

Accounts receivable have been adjusted for all known uncollectible accounts. As of February 28, 2009 and May 31, 2008 there were no doubtful accounts. International accounts represents sixty-seven per cent of total receivables as of February 28, 2009 and approximately seventy per cent as of May 31, 2008.


67% -- of $14,007,301 dollars = $9.3 million dollars.

I think this 9.3 million number is BS.
And I think they fluffed up the Accounts Receivable to plop up assets.


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STATEMENTS OF CASH FLOWS

Issuance of common stock for consulting fees, loan payments, advertising, and other $9,722,405


Anyone that claims there’s no dilution is lying!


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During the three months period ended February 28, 2009, the Company issued an aggregate of 306,412,290 shares of common stock to RM Enterprises International, Inc., a related party, in consideration for the conversion of an aggregate of $1,188,970 in debt or an average of $0.0039 per share.

On February 27, 2009 – the stock closed at 0.0126

$3.8 million dollars of stock was issued on a $1.18 million dollar debt
306,412,290 x 0.0126 = 3,860,794


Conversions are being issued at a 69% discount
(0.0126 – 0.0039) / 0.0126 = .6905
That’s a three for one special – one for you and three for me.