liquidity

For those that don't read the Full Year Accounts, in detail:

Pg 47,

2. Liquidity

The Company has incurred recurring losses from operations in each of the years in the three-year period ended June 30, 2013 and anticipates incurring additional losses until such time that it can generate sufficient revenue from the sale, customization or exclusive use and licensing of its proprietary range of injectable drug delivery systems to pharmaceutical and biotechnology customers. Management has taken such steps delineated below to address its cash requirements.

The Company needs additional funding to support its operations and capital expenditure requirements. The Company continues to have discussions with current and prospective customers for many active programs in its commercial pipeline and expects to progressively execute agreements featuring a combination of revenue streams including exclusivity fees, device customization programs and supply contracts that are expected to generate cash payments to the Company during calendar 2013. Given the substantial size, complexity and long- term duration of many of these prospective agreements, some can take a significant time to negotiate and finalize. The Company is consciously managing its cash position to minimize raising additional equity capital and thereby minimize dilution to existing stockholders.

The Company continues discussions with a financing firm for up to a $20.0 million debt funding program. Combined with the anticipated revenue to be generated from new and existing customer agreements or through other transactions, the Company expects to have sufficient near term liquidity. However, there can be no assurance that such additional funding, or sales transactions, will close as expected or be available when needed. These various factors raise substantial doubt about the Company’s ability to continue as a going concern.