helping the kiddies, page-7

Gday Rifici

Didnt they get a $1.5m-$2m loan from MFC to basically cover the PO facility?

That PO facility was only for $5m, and this financing from MFC is for just under half this amount.

So if the PO facility comes on in the next month or so than there will be no issue.

Also, the $20m forecast has been there since the start of the year.. and that was long before any talk of factoring facilities or purchase order facilities.

Yes overheads have increaed, but they have also raised capital along the way.

So I remain quite confident of their ability to generate $20m in revenues... and of course most will come through in the 4th quarter.

The PO is a nice to have to try and boost that revenue amount.

As for next year, well a good 12 months of the cashflow cycle as a consolidated business is a good place to start. No doubt they will continue to reinvest into the manufacturing cycle, and use further debt or equity to make strategic acquisitions along the way.