debt and other matters..., page-66

MJS you are right. The valuation of the land listed on the balance sheet could be distorted. Distortions like this can usually be eliminated by subtracting "goodwill" from "non-current" assets but not always. This is why I personally would never buy REITs.

You are also correct that CCF's current issue is cash flow. To this I would add that they did not want to trade the convertible note ($1 mil) at 1/4 of the company's NTA (5c per share/19c per share). This trade would be like surrendering a brand new $100k car to pay of a $25k debt. Being stuck in such a position they did the right thing by the shareholders and offered them the SPP rather offering this same deal to convertible note holder. I think that avoiding this trade was not a credit impairment, but I suppose that if they could borrow the money somewhere else they would have rather then raising capital.

CCF stated in their last cash flow statement that they expect to receive $700k per quarter for the remainder of the year. I do not know if that assumes that they will not get any new business or if new unsigned contracts are factored in.

My hope is firstly that the remaining SPP shortfall will be filled, then the CCF will attract a few new customers coming close to July 1 and then finally many many more after the government Federal election.

As my previous post stated, I believe that once this cash flow issue is sorted that CCF share price will skyrocket.