Ann: Half Yearly Report and Accounts, page-11

Hi hotcongo. Your post made me look at the accounts. The contract liabilities are VERY material yet there is no disclosure on what they are or any conditions around them. After a bit of research I found the answer in note 16 to the full year accounts. They are taking up the license fee as revenue over the period of their performance obligations set out under the license. So no cash income from contract revenue of $1.152. Just a reduction of the future liability. I find it disappointing about the company's disclosure of conditions re terms of supply under the license deal and lack of disclosure in the half year accounts about what was shipped. There seems to be no cash receipts and there is no uptick in debtors for the previous period. This lack of transparency is starting me to doubt the company. Like many shareholders I can't believe how undervalued this company is. I have told so many friends to look at this company its a bargain. However its been a bargain for so long what am I missing. Markets may misprice a company for a while but not for this long. What am I missing. Lack of disclosure is causing me to loose trust