I've been watching from the sidelines for a long while now,...

I've been watching from the sidelines for a long while now, waiting to see if something changes for the better to turn this into a buy. I can't see any reason to be calling this the bottom due to this announcement. If anything it confirms a lower SP will be seen.

Current cash burn of ~$4m a quarter and only ~$8m cash on hand last quarter (so one could estimate at best they have $5-6m right now). The announcement is saying they have projected savings of only $4m a year, so they have another $12m in savings still to find just to break even.The immediate concern from this announcement should be the likelihood of an upcoming capital raise. Say they only aim to raise enough for 2 and a bit quarters ~$8m. At a discount rate of ~20% that gives us 1.4c that would mean a share dilution at a minimum of 20% of SOI, by the end of this the share price would be pushing the low 1c range and management would still only have bought a small amount of time for itself.

The next six months to year could very well be make of break for this company. Times are tough for growth stocks, if management is planing to continue to go to the market for capital to expand growth like it has in the past I personally can't see how they can survive.