Time to examine this sec filing:
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State the number of shares outstanding of each of the issuer's classes of common equity, as of the latest practical date:August 10, 1998 109,610,378
Total assets $ 6,821,812
Total liabilities 9,877,032
Net Loss $ 949,430 for quarter ended june 30,1998
Net Loss $ 1,043,720 for six months ended june 30, 1998
about 50% lower from previous year
The Company is experiencing serious shortfalls in cash resources at June 30, 1998. A significant reduction in Company personnel was effected subsequent to the end of the reporting period. Included in these changes was the resignation of Chairman and Chief Executive Officer Thomas Nieman. Nieman was replaced in this same capacity by Daniel H. Scott. The Company has significantly reduced costs since June 30 in an effort to build cash resources from operations before proceeding with continued research and development.
Although cash flow from operations continues to show signs of improvement the mounting cost of debt is difficult to overcome. The Company believes it has exhausted all means of available financing. Future growth of product lines and development of new products require additional funding. The Company continues to explore all options.
After the close of business on June 30, 1998 the Company effected a 4 for 1 reverse stock split to reduce the number of shares outstanding. This transaction was previously approved at the Company's annual meeting. The number of shares outstanding immediately prior to the split was 143,594,531.
The principal place of business for the Company is Las Vegas, Nevada. The Company continues to maintain a small office in Vancouver B. C.
So if O/S was 143,594,531 before the split, the total O/S as of August 10th should have been 35,898,633
We see from above that it has become 109,610,378. This means 73,711,745 shares have been issued since June 30th, 1998.
No mention is made as to what these shares were issued for. Assuming an average price of 3 cents per share, that is $2,211,352.39 cents.
No mention is made that these shares were given to pay expenses and employees OR given to a new enterprise to finance the expansion or merge with AGTI.
Since they state that they are still in financial dire straights I am assuming this was to cover expenses.
The company is still short roughly 3 million in it's assets minus Liabilities.
At this stage I see the company no better off than it was, prior to the split. It managed to buy some time with the split by clearing off some of it's debt (my speculation as to the use of the newly issued shares).
A new president has taken the helm, and they have reduced staff, therefore lowering overhead. Income appears to be in the range of 40,000 to 50,000 per month. This may very well cover the current overhead.
So AGTI is still in Limbo. They either have to be bought out, merged, or financed, before anything can happen.
At this stage, In MY Opinion, the company will be treated like a shell. I imagine the price will finally hit a bid/ask of .001/.003 and stay there until a financing or merger is announced.
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I welcome dialogue on this matter. I would also appreciate some more experienced number crunching of AGTI, from someone who has been through the thick and thin, to see if I am off base here. |
