CGB (ASX) Ann: Preliminary Final Report

Originally posted by Aussie Eagle: ↑

Good work Chris.

Maybe that's reflected in the 'Impairment of Receivables' line ?? - $106,763
The 106,500 figure is prob just rounded to the nearest 500 ?

Either way, at least we can see more detail under what looks like a new reporting format across the ASX

One flaw I can spot is the means of payment to Medcan on p39 :-
"On 5 July 22, the Facilitation Agreement entered into with Medcan Australia Pty Ltd (“Medcan”) on 1 July 2019 whereas Medcan were to provide import/export, storing and distribution services for our Canntab products under their Office of Drugs Control licences for a fee payable in shares each quarter has been terminated. The Board believes the termination of this agreement to be a positive outcome for Cann Global shareholders as Medcan did not fulfil their requirements under the Facilitation Agreement. The board is disputing outstanding fees as work was not carried out in a satisfactory manner."

The actual original agreement allowed for payment in EITHER shares OR cash.

Also, it beggars belief how the termination can possibly be a 'Positive Outcome' for shareholders, nevermind those who need relief via the pills !!!

I guess we won't find out until the court case (which I can't see being mentioned ?) what was unsatisfactory about the work Medcan were carrying out.
All I can remember is Canntab having delays in manufacturing the Instacann products as well as parties having to acquire new licences for each new shipment of the pills.
Maybe Medcan were unsatisfactory in expediting applications, who knows.

No mention of a refund on the balance of the pill shipment not received to date, nor a statement that the whole order has in fact been received in which case there wouldn't be any need to terminate the Medcan agreement anyway by slamming that door shut.
No mention of why they've contracted external Lawers for the case when the BoD comprises of no less than TWO legal professionals ! (out of a total of 4 board-members)

No management statement to announce the results either - probably too embarrasing once again.

John Easterling becomes a footnote.

Didn't Pninah's massive payout occur in the 2021/22 FY ?
Or is that the 525,000 share-based payment expense ?

Finally (from me so-far..lol) - how could they get away with terminating the JV with Pharmacann if Fuss Pot was going to show the promise they talk about ?

Yet another shambles of decreasing revenue, exhorbitant fees and salaries, keeping Volcan and Bauxite on the books for no good reason slamming doors shut on their own noses etc etc...

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Thanks Aussie,

If you have a look at page 35 in the report, you can see the benefit shareholders will get. Bailing out of a failed venture costing the company circa 25k a year.
It is disappointing for all those people for whom medical cannabis could be a help, but it does make financial sense.