Replies to post #24119 on Viaspace Inc (fka VSPC)

[tommy 9 fingers]

Are we surprised...LOL

NOTE 13 – SUBSEQUENT EVENTS



On October 31, 2012, DMFCC entered into an Acknowledgment and Mutual Release Agreement with the University of Southern California (USC) and California Institute of Technology (Caltech) whereby DFMCC agreed to terminate the license agreements it had in place with USC and Caltech in exchange for Caltech and USC agreeing to forgive any royalties, patent legal fees, or other amounts now due and owing from DMFCC under such license agreements. DMFCC has no further obligations under the license agreements as of October 31, 2012 and no longer has rights under the license agreements with USC and Caltech. As of September 30, 2012, DMFCC had accounts payable to USC of approximately $307,000 which was included in the Company’s consolidate balance sheets. This amount will be reversed in the fourth quarter of 2012. In addition, the Company will formally close DMFCC since it no longer has active operations.



On October 16, 2012, the Board of Directors of the Company approved a resolution to divest its ownership interests in Ionfinity. The Company expects to conclude this transaction in the fourth quarter.



On October 30, 2012, the Company issued 27,085,904 unregistered shares of its common stock to Dr. Schewe upon the conversion by Dr. Schewe of two convertible notes in the aggregate principal amount of $85,000 plus an aggregate accrued interest amount of $289. Dr. Schewe made a $50,000 loan to the Company on September 28, 2012 and a $35,000 loan to the Company on October 23, 2012

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[tommy 9 fingers]

Now we see the profit in the grass, so look like Chang made $33,000 selling grass to VSPC and KCarl made $2000 for shareholders and Chang will get %8 of that...??? is that right?

Hey doesn't this mean that Carls profit margin is only 7.5% ....LOL wow chang still gets more

Revenues



Revenues were $27,000 and $113,000 for the nine months ended September 30, 2012 and 2011, respectively, a decrease of $86,000. Ionfinity incurred revenues of $113,000 for the nine months ended September 30, 2011 and zero for the nine months ended September 30, 2012 as all US government contracts were completed in 2011. The Company recognized $27,000 from its grass business for the nine months ended September 30, 2012.



Cost of Revenues



Costs of revenues were $25,000 and $78,000 for the nine months ended September 30, 2012 and 2011, respectively, a decrease of $53,000. Ionfinity recorded cost of revenues of $78,000 during the nine months ended September 30, 2011. All US government contracts were completed in 2011. The Company recorded $25,000 as cost of revenues in its grass business for the nine months ended September 30, 2012.



Gross Profit



The resulting effect on these changes in revenues and cost of revenues for the nine months ended September 30, 2012 compared to the same period in 2011 was a decrease in gross profit from $35,000 for the nine months ended September 30, 2011 to $2,000 for the nine months ended September 30, 2012, a decrease of $33,000.