Ann: Appendix 4C Cash Flow Report, page-17

no Cash Flows are not at all useless, I do get what you're saying about extra commentary and some of the more responsible Small Caps will support with an Investor type presentations and explain away.

But Cash Flow statement is a very useful (and comparable) tool between businesses, because the basic fundamental reason a business exists is to make profits, so that top section for Operational Cash Flow is all about whether selling things for more than what they cost to create generates positive cash flow - and for a great number of businesses it does.

It is the one undeniable "litmus test of survivability" because if the business keeps going on continually burning Cash they run out of cash at bank funds and have to close the doors or raise yet more capital from the markets (but how long can they do that and are the markets prepared to prop up a loss making business year after year after year - let alone the dilution effect to existing shareholders)

It is this continual cash burn in light of $35m - $42m in product Sales that annoys me the most with FOD and the company still paying out Related Party transaction payments to entities that Directors control

Basically if you can't balance the ledger, why are we needing to pay Director's companies for "professional services" and who really knows if those services provide "value" as different to being priced at "market comparable rates" (Auditor's Qualification Statement in the Annual Accounts)

eg. Marketing Consultants at $100 p.h. might be the going market rate, but given it could be a Director's company that is providing those services, who as an employee is really going to push back if they think they're not getting value for money, and in any event where are the increased sales and dare I say profits from that spend even at the going market rate ?

This is my 6 year collation of Related Party Payments sourced from Annual Reports, and for FY2021 from the 4Cs




the question become:

- How much could the company have provided the same services for (ie employed people, bought equipment, outsourced elsewhere etc) ?

- if the business case is that those payments generate those Revenues, what % cut is being forgone from the revenues for having someone else generate them (which I take to be being a Distribution Agent and liaison to the major retailers for FOD) ?