Ann: Quarterly Business Review and Appendix 4C, page-2

Anyone else think 3.5 quarters left (Section 8 of the 4C) is wildly optimistic?

First, they're talking about closing down the loan today, which would necessitate paying back cash and also not having the credit line to count towards "8.4 Total available funding".

Second, they're moving development effort into "capitalized technology expenses". Every quarter they move about $500K of coding effort from operating expenses to the "Payments to acquire capital", which is pretty weird. This doesn't count against the number of quarters they have left, but they've never not spent this sort of money (sometimes more - up to $1M in past quarters).

On the most pessimistic outcome - loan closes and they keep spending money on capitalized technology expenses - they have 2.1 months left not 3.5 quarters - starting from Dec 31. So that's about 33 days.