To: +Skipard (143 )
From: +crysball Aug 25 1997 10:03PM EST
Reply #144 of 144
1.
Skipard how about an objective analysis of the balance sheet with a focus on cash and cash burn rate (past & projected).
1.Cash currently is $2.6mm.Burn rate is 200,000mm per month,without taking into consideration sales to Germany which are accelerating.Cash will not be a problem until 3rd qtr of next year,if they have no furtehr success.
2.
Do you have a model which lays in a sales growth (by product) and the cash consumption associated with financing the associated inventory and receivables.
2.You will have that soon.
3.
If so don't you very quickly arrive at the conclusion a secondary offering will be necessary to raise more cash given the burn rate...........one which will be dilutive?
3.There will be more dilution at these prices,and there is no need for it at this time.If and when we see considerably higher prices,and the stock has a decent sponsorship,that will be a consideration a year from now,but no current needs,and or desires by the company.
4.
When wil the company announce sales results of derma lasers?
4.I am also looking forward to that,and hope we will have some concrete ideas in the near future.
5.
It would seem the company can ill afford to financially support launching 2 new products (DERMA & DENTAL LSER) into production simultaneously , never the less the Laser Brush........Is the CFO in dreamland?
5.Absolutely not.Dermalase would be made and shipped versus orders.The margins,I believe will be very attractive,and will certainly allow for significant manufacturing. LaserBrush,will carry high margins,and is actually being brought in way below budget.
6.
Is BLTI really well managed, if so why have they so seriously undereestimated the time & cost to get new products to market, and now are going to try to launch 3 virtually simultaneously.
6.Excellent question.The Millenium for hard tissue is currently being sold in Germany,as you know,and it is my hope that we will see other parties having a similar interest in near future.The LaserBrush has had engineering problems with the manufacturer on the molds,and is about 8 weeks behind schedule.This is very frustrating,but should still be on market in time for Santa Cluas.Dermalase was just approved,and actually was way ahead of schedule. Managment is very capable,and is also very frustrated,as we all are,but I know these people,and I know they know what they are doing,and I know their technology is state of the art,and even though late,better late than never.
7.
If you are a major stockholder do you know what % is owned by mgmt, and by Institutions? Are you on the Bof D?
7.I am a major stockholder and have been for 2 years.An investment advisor owns or controls about 1.8mm shares,mgt owns about 10%,institutions own 500,000 or so,the rest is in public hands.No I am not on Board of directors.I am a frustrated shareholder,but I am hoping that I see the light at the end of the tunnel.
I am sure that I have not given you all of the answers which you were looking for,but I am hopeful that we will have more visibility in the near future. |
