re: is skg technically insolvent? Ooohh you are agitated...

re: is skg technically insolvent? Ooohh you are agitated Brad.....

##Firstly i hope their operating costs are NOT $771k per month?
Lie or mistake?##


Brad.....was it a lie or mistake?

##Now...SKG do NOT have revenues of $1m per quarter.
You are suggesting they will in this quarter but last quarter they had revenues of $539k##
SKG have stated $30 million for Q4.....$29 million from Techno and $1m in customer receipts, refer Note 4 of the Q3 results.

Yes i do see that...and i do see you have doubts about the $29m from the russians......so i think the $1m is a bit much too so letdeal with historicals rather then possibles.

##The $850 they have as you call an asset is actually a 18% loan.
But with the $850 k...they had at the end of the last quarter $1m in cash on hand.##

So this is true then Brad?


##Their quarterly costs are around $800k....and not allowing for anything unusual.
So the end of this quarter they will have approxiamately.....$700k in cash###
That is wrong, but even so that is enough for them to survive, last months loss was $233k when you take away the AIM listing cost, they will be cashflow positive this quater, without the cash from Techno.

Thi sof course is based on your assumption of revneus of $1m for this quarter....a guess rather then fact i will happily dismiss.

###But still owe.........$700 k to Cornell for the loan.
Plus interest!
Effectively SKG are insolvent as at the 30th of June.
Their debts are greater then their cash.###
The issue of shares is not cash related, SKG have NO obligation to part with cash.

So tyou are trying to say now the $850 from Cornells is NOT a debt?



##You alrready said they borrowed $1.3m for the AIM listing.##
The shares have already been issued on the AIM, there is no associated debt.

Of course there is....there is the interest charged.



##Technically then SKG are insolvent now.
Perhas you would like to address those facts?##

Brad...s.till waiting?


##And SKG can NOT draw down on any of the money from Cornels until the $850k is repaid.##
If SKG are taking 16 months to issue the shares, what does this tell you ?


Tells me SKG do not have the ability to repay the loan quickly enough......what does it tell you?


They don't owe any cash to cornell, but you insist on calling them inslovent, more detailed research from Bazzaroid ;-)

Brad...if its not a loan...can you please advise everyone what exactly the $850k is and how it will appear on the balance sheet?

Thanks Brad

so far mor questions then answers.