TZ, answer the questions --cat got your tongue? I was hoping the almighty financial wizard would impart some useful knowledge to us all. I have now shown that your "key" insider -Mr. Soundview, Mr. Greenwich Info & Mr. Internet Services --all rolled into one --quickly sold all his shares --I guess you didn't catch that one in the statements did you?
You have clearly now also shown your ignorance as to how a company would value IP and expense vs. amortize in the future. You had absolutely no understanding given your initial question. Now it appears you have no idea what a trade show is about or how they work. It only happened to be the largest consumer electronic show of the year and one of the largest in the world, and they only happened to win an award for their product. Even Mr. Olivo's lawyers (of PG) were there and were complimentary of their efforts to initiate a commercial product. Soundview had no money to pay for a booth nor any reason for marketing collateral since they have no products to sell. Then again they probably could have paid for a booth and stood around hawking Acacia private placement shares to the unsuspecting.
As for TVL, they have been profitable every year.
READ THAT --Every Year of Operation --
I would doubt they will be for the previous FY because of the heavy spend in the run-up to actual production. Also the marketing spend will have to pick-up. But they should be highly profitable if the market develops for decoders. Otherwise, it won't be for any of the V-Chip companies.
Wouldn't Acacia love to have a few bucks to actually make something and sell it. That would be novel for them, wouldn't it? Instead they piss it away in consulting fees to their buddies, looking for more creative ways to soak a few more chumps.
As for your other questions, I suggest you read my responses with more attention. As for the real estate, I'm not suggesting they do that, you are. I suggested that, if done, it would clearly have to show that on an after-tax basis, the cost/benefit was in favor of doing it. Once one has income, there are benefits to owning rather than leasing. But to suggest that they are perpetrating some fraud by selling real estate at a high price to the company (which they are majority owners of anyway) is just way off base --so drop it.
Now to you Big Boy....
It's your turn to answer the questions. Interesting that you call a truce just when the cracks in Acacia begin to show. I suspect you know the answers, like I do, and you don't want them to get out. The answer's lead to one conclusion: $!p* #* t*# $e*$ur*.
You know it.
1. Why doesn't the management of ACRI own much in the way of stock? Why do they keep issuing free options to everyone and his brother?
2. Why would anyone pay a ridiculous 4x more for the same equity that Acacia values at no more than $20million (1 Qtr 98 valuation)? Given the continual need for cash and the extraordinarily risky business plan they pursue, it should be at a substantial discount to account for future dilution and all the low priced warrants and options out there let alone some of the debt they've put on their companies.
3. How could they sell shares in Merkwerks for 5x more than they bought them in less than a few months? Then buy them back at a different price? At little suspicious.
4. Why does Acacia always sell some shares at higher prices than the original investment (even after there have been substantial equity issuance and debt layered on) and then buy them back from the same people at higher prices, using shares of course? Where are they getting their professional valuations done or are they just winging it? I see no reference to any independent, reputable valuation firm.
5. Who is this mysterious Mr. Ching that buy's and sells and owes money to the company?
6. Isn't it a little suspicious that there are very few outside Board members in any of the company's and that the management of Acacia is ususlly also the management of some of the investee companies. Perhaps that's where all these generous "consulting fees" are going? Usually Board's have outsider's with industry knowledge. Could these same 4 people really know everything about these extremely varied industries or do they not want outsiders to see all the share swapping, consulting fees and fudging around their doing?
7. Why does Mr. Browne keep selling his shares and moving on to new ventures? |
