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Gold/Mining/Energy : Yogen Fruz IT'S ALIVE, IT'S ALIVE

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To: Hank Stamper who wrote (1165)2/16/1999 7:10:00 PM
From: yogi bare  Read Replies (2) of 2453
 
I also received the Q1 report in the mail. Something I am confused about though.....

Sales jumped from $5,436K to $18,615K or about a 242% increase
Cost of goods sold went from $3,557 to $10,593K an increase of 192%

Does it not make sense that the cost of goods sold (this should include the butterfat component) should have increased at a higher rate than sales to have the negative impact they claim. According to the above the margins look better?

What I notice is a bigger increase in the selling and administrative expenses. In 1997 it only accounted for 32% of sales. In 1998 it accounts for 48%. Total selling and admin expenses increased over 400% from 1997!!! This expense seems to have dragged down earnings, perhaps the butterfat issue is a cover-up.

Just my thoughts.... anyone???

Yogi....
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