CLI prospects for 2020, page-31

Hi

I am struggling with your numbers. As per the compnay's announcement they have $1.6m in revenues for 6 months and $2.9m projected for December. So 9 month revenues are $4.5m. It is hard to reconcile that with the $18m you have used above, although the lower December number will be offset by higher inventory that can be sold later (hopefully).

Re next year, it is interesting that the Greenfund report actually shows the cost for next year significantly higher at from meory $15-$18k per acre verses under $10k this year. I raised that when you posted the financial projections because desite massive increases in projected revenues the overlall profit stayed constant around $40m.

This was driven in my view from lower projected per lb prices, and for some reasons higher cost of production. Like you one would expect that to fall as you scale.

Personally I think things are looking tight on getting to 1,500, although as others have pointed out it would be possible to borrow some debt against next years crop. Especially if it is geographically diverse so as to avoid the risk of total crop failure through climatic conditions etc.

But still comes back to it, it is a bit of a guessing game with the silience of the company.