There's no way they'll recoup the tens of millions spent on the 1PG product. Sometimes it's good for a company to admit that a product doesn't work, write it off and then go down a different path. Not all ideas/products work out. All companies have failed products. It's just that this failed product is this company's only product.
Better to pull the plug now while there is money in the kitty than keep pouring money into a pit with the eternal carrot that management keep dangling that it will one day make decent money.
The disposal move will force Joanna to lay her cards on the table and give a full rundown on the status of the business.
1PG Price at posting:
16.5¢ Sentiment: None Disclosure: Not Held
