10-K COMMENT NUMBER 1:
For the year ended December 31, 1997 the Company experienced a net
loss of $1,096,465. The primary components resulting in that loss were: revenues - $44,849; cost of goods sold - $22,078; operating expenses - $19,270; and other expenses of $1,102,464. While revenues only increased slightly, other expenses showed dramatic increases. This was primarily a result of the increased tempo in finding and developing markets and in the increased production process to get finished goods ready for sale. The major components of other expenses were Meals/Travel - $107,966; Amortization/Depreciation - $73,023; Professional Fees - $124,530; Salaries/Wages/Payroll Taxes - $237,586; and Consulting Fees of $144,823.
My Lord, what else can be said here. They are eating more than they are selling here. |
