Did anyone else find the half year report intriguing where the...

Did anyone else find the half year report intriguing where the auditors assumption of going concern status was based on:

1. $3m being raised in private placement and rights issue to existing shareholders

2. Underwritten by Kazacos to $1.75m

Firstly, I would be curious as to which existing shareholders take up the rights issue when judging by recent price movements the share price will somewhere around 0.3 or 0.2 cents.

Secondly, how much more dilution is necessary, and what are the conditions of the underwriting by Kazacos.

The finance raising is part of paying out NAB and moving to CBA with another type facility and paying out Kazacos, together with removing Kazacos from having to have a personal guarantee in place for the company. I think there is some mention of working capital increase as well. Not sure there is much tangible operations benefit for the company other than letting Kazacos off the hook a little bit and maybe appeasing NAB/satisfying debt convenants.

The enormous difference between the December profit warning and the actuals, released 1 March does not fill me much confidence. I imagine their motive for releasing 1 March has to hopefully offset the dire financial results with positive spin on how March quarter has improved. There was no positive spin though.....anywhere.

Was a shareholder, took my loss and now just a interested onlooker. For various reasons I was hoping this company would be a success after becoming aware of it in 2009. I still hope it could be - they just better hope they have the right people in charge to bring it back.