They are not yet generating enough cash to pay the bills so it was inevitable that they would need cash.
The good thing is that they were able to get the cash. Someone obviously feels the stock is going to be worth something. The bad part is that those shares are going to get dumped as soon as they get issued.
Hopefully they will not need to draw too much of this since Kay said they hoped to be cash flow positive by the end of 2012. I'm just a little bit afraid that the will spend this money foolishly and be back for more in another 6 months.
News 
Market Data 
Discover 
