INVEST -
I enjoyed the discussion last night and look forward to meeting you again.
RE: "unfortunately all the hard figures you need to value the company do not yet exist"
I was pondering that exact problem this morning. CBQI's Revenues are subject to improve with additional acquisitions. However, CBQI will also increase operating expenses as it grows. The million dollar question is "What percentage of previous operating expenses have been eliminated with the close of non-profitable divisions?"
For Example(Hypothetical): If we assume that the $ 9.6 million in current liabilities includes write offs and one time charges totaling $ 4.4 million, we can reasonably speculate that the future liabilites for CBQIs opperations will be $ 5.2 million. This would fit snug with Gary's projection of .04 EBITA for 4Q 2000.
Projected Income = 7.8 million
Projected Liabilities = 5.2 million
Projected Earnings = 2.6 million
Earnings = $ 2.64 million
Shares Outstanding = 66 million
Earnings Per Share = .04 cents per share
Knowing what percentage of Total Current Liabilities is attributed to the "burn" rate is MANDATORY in order to make an educated projection on earnings. Core Business expenses or not, CBQI spent $ 9.8 million. How much of that can shareholders expect to see on future balance sheets?
I understand your point that(at this time)CBQI's future value will not necessarily be equal to the mathmatical extrapolation of companies A B C and D. However, I do think we can draw honest conclusions not only about the chances of CBQI reaching its goals but also about the degree to which we may expect that those goals will be accomplished by evaluating the facts.
There will be plenty of time to evaluate company E, F, and G after they get their day in the sun. Right now, my concern is to focus on the facts. The facts(according to 9/00 Finacials) indicate that CBQI continues to operates in the red.
Sincerely
Bix
Market Data 
Markets 
AI
