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Biotech / Medical : Chromatics Color Sciences International. Inc; CCSI
CCSI 29.69+5.8%2:31 PM EDT

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To: JanyBlueEyes who wrote (5642)11/16/1999 1:02:00 PM
From: Bob Trocchi  Read Replies (2) of 5736
 
Janybird...

>>As some products were shipped for promotional/demonstration use or shipped under deferred payment until sold by the distributor, the revenues for such products were not realized in this quarter<<

Maybe I am grasping at straws but I believe this is the first time that I have seen it mentioned that O-D does not pay CCSI anything until units are sold. We thus need to wait another Q to see what the real run rate is.

I also noted in their quarterly report that their inventory took a huge jump. My conclusions are either:

1.) O-D was expected to sell more and now CCSI has inventory hanging around.

2.) O-D is in fact selling and this is an inventory build up or "parts" prior to having finished goods. So they do their own manufacturing? If not it could strongly imply they placed orders of finished goods in anticipation of sales and they have not materialized

It will take another Q to really find out or some PR announcements that truly indicate that the units are being placed.

Regards

Bob T.
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