Replies to post #92 on Oil Stock Report

[alfaspider]

CFW- revenue (unaudited), $7.5Mil. inc from 6.7 M last qtr, and $26.127 M for the year.

Latimer's cost cutting, vs Loss "required" for stuff they can not get out of the ground right now?

[alfaspider]

CFW- Loss from operations = "paper" loss due to SEC rule?
They can't count it if not ready to extract with financing and plan in place, but oil in ground is still valuable to a prospective buyer?
Guess Johnson was counting it previously,


These decreases primarily are the result of the application of the requirements of the SEC’s amended Rule 4-10 of Regulation S-X. Among other things, guidance for Rule 4-10 of Regulation S-X for the reporting of estimated proved undeveloped reserves requires that a company must have adopted a development plan and have made a final investment decision for the development of such reserves. The mere intent to develop is not sufficient for reporting estimated proved undeveloped reserves. For all reserves, Rule 4-10 of Regulation S-X requires that there must exist, or there must be a reasonable expectation that there will exist, the financing required to implement the development projects. Due to the Company’s current financial constraints, including continued losses, defaults under its loan agreements, no available borrowing capacity, constrained cash flow, negative working capital, and limited to no other capital availability, the Company does not have a reasonable expectation that it can obtain the financing required to implement these projects within a reasonable time, even though the Company believes these projects, in and of themselves, remain technically feasible and economically attractive. Therefore, the Company anticipates recording the aforementioned impairment to its reserves.