Ann: Trading Halt, page-52

I agree that any raising above 9 cents is a positive. We would all prefer a CR at the highest possible price at the most opportune time. There may be something else at play here. As a poster has previously said, there were other people interested in the last CR at 8 cents but management either thought they could get by without that investor or the company and the investor could not reach agreement. I think that particular investor has come back and made the company a take it or leave it offer. The company is in a stronger position now then it was at 8 cents. Having said that, just imagine the position the directors are placed in....do we say NO, knowing that a CR will be needed in about 3 months at perhaps a higher SP, or do we accept NOW on the basis that the amount is substantial (someone floated $10m figure) and a bird in the hand principle. Tough decision but in the world we live in today nothing is more certain than cash in the bank. If the raising is for $10m @ say 9.2 cents and the investor is long term and cornerstone, then this is positive. Don't forget that one side of the balance sheet is more shares issued but on the other side we have an asset (Cash $10m). As long as that cash can be put to EPS growth then we are better off with the CR. I think this is the case here. There is ample cash before this CR for working capital needs, but there is not enough for major production ramp up. The directors obviously had to decide. On balance, and putting side the direct impact on me here , I endorse what the directors have done. Gone for certainty. If our product is good and is better than the competition then there is much blue sky so an increase in SOI at this early stage of the company's development is necessary. Lets hope on Thursday we hear that the CR is a substantial amount, is for at least 9 cents and involves a cornerstone LT investor.