rjm2, if you take the fourth quarter operating loss and adjust it for non cash charges and add in the interest income, the net burn approximated $3.5 million.
I think that it is going to take a bit of time for the company to complete its cleanup and sell off the shell.
As of September 30, SOFN was liable for future minimum lease payments of $10.7 million and had the following outstanding litigation:
freeedgar.com
Legal Proceedings
On September 26, 2001, Lucent Technologies Inc. ("Lucent") brought action
against the Company, alleging that the Company breached a contract by
failing to purchase Lucent's shares in Freewire Networks, Inc. and claiming
damages of approximately $3.5 million, which may be subject to increase
over time. The Company continues to believe that Lucent's claims are
without merit and will be contested vigorously.
On November 9, 2001, Nokia, Inc. ("Nokia") commenced an action in San
Francisco Superior Court against the Company and Aerzone alleging breach of
contract arising out of the Aerzone's proposed operations in certain
airports. Nokia seeks approximately $2.1 million in damages. The Company
believes that Nokia's claims are without merit and will be contested
vigorously.
The Company is also involved in other legal proceedings and claims, which
arise in the ordinary course of its continuing and discontinued businesses.
The Company believes the results of the above noted legal proceedings,
other pending legal proceedings and claims are not expected to have a
material adverse effect on its results of operations, financial condition
or cash flows. |
