No conference call is scheduled. First, they cannot afford it, and second, doubt if BH wants to answer an questions right now. They are probably in a "quiet period" until finalization (we hope) of the sales of Secure Computing and Val-Com units. Then they also need to come up with a reasonable settlement with M3i Tech. Then they need to use all financial assets to expand the PCMobile plant so they can meet demand in a timely manner. From the report, they are behind and that is costly. It seems the "bet the store" on Secure Computing and it certainly backfired; the financing should have gone to PCMobile (but that's now hindsight).
If the two unit sales fail, we may be in bankruptcy, I believe, as they would have no way to adequately finance needed expansion at PCMobile. Even if things do work out, believe there will be substantial dilution in private placements for needed funding. Yet
even with that, if they can reach profitability by year end, the stock should gradually recover, but we will certainly will need one bunch of good luck with nothing going amiss.
Yes, we are skating on thin ice. If fortunate, we will safely reach solid ground without a prat fall and a dousing. Doubt if He cares much about CYII, but a few prayers certainly will not hurt. Amen! |
