Bochie,I'm not yelling just stating a few facts that my learned...

Bochie,

I'm not yelling just stating a few facts that my learned IT friend appears completely ignorant of. All I try to do is balance out the unwarranted IMO hope, promise and blind faith that things are going great for PLT when my analysis clearly shows they are going from bad to worse.

As a basic example, and this is really balance sheet analysis 101 stuff...TTH keeps on harping on about that PLT DOES NOT ship product until they receive cash payment.

This is simply false.

If one took the time to look at the accounts it actually appears that PLT did have this terms of trade policy up until FY07 however for the past 18 months as PLT have been under the pump to try to hit their fanciful sales projections the policy has changed.

Look at FY07 sales figure of $3.587m and at June 30, 2007 they had trade receivables of $87k...compare this to the FY08 sales figure of $1.527m and a trade receivables amount of $696k...the 1st half of FY09 is even worse....sales of $779k and receivables of $1.334m but I will give PLT the benefit of the doubt and adjust this down to say $800k to recognize deposits in advance.

Anyway as you can see from the clear facts above...PLT no longer has a policy of receiving payment prior to shipping product. Far from it, it appears that they infact are getting a blow out in days outstanding for their receivables which usually is a leading indicator of a bad/doubtful debt provision.

PLT is clearly starved of cash and from my analysis is out of cash in the next 4-6 weeks. TTH keeps on harping on about sales and that I dont know how they are tracking in the current quarter to June 30...Yes he's correct that I do not know the exact number but what I can unequivocally state is that it appears from the Dec 31 balance sheet and taking into account the $2.36m loss for the quarter to March 31 PLT does not have sufficient working capital to trade themselves out of this perilous situation...in other words they cannot fund any sales even if they could make them and then get paid for them.

This is unequivocal.