To: Rich1 who wrote (23872 ) 8/13/2001 10:06:05 PM From: Zeev Hed Read Replies (1) | Respond to Hey Rich, VLNC is a great disappointment to many. It is clear that they will have to go to the well very soon, again (last year they added about 9 MM shares, but at much better prices than available now). They have about $2.5 MM cash in the kitty, not even enough to run at their current quarterly burn rate of $9 MM for a month. Can they pull a rabbit from the hat, maybe, would I bet on it? No, and the technical picture (and low volume) do not indicate that anything good, like positive cash flow, is brewing anytime soon. You would be better off, IMTO, betting on the bu$$ than on VLNC, at least the bu$$ has cash to burn and they get a stream of existing royalties. Even T-money gave up on VLNC, and he was quite close to management, at least according to some of his posts from two years ago. I have taken it off from my screen, it got to be too boring (g), and stocks like TARO and IART seems to have much greater potential. Hey, try MAGS, the same price range, except they make money, they have cash and their book is about 80% of the current price. I can't give you "dreams of billions" in "addressable market" with MAGS, but on the other hand, not too many disappointments either. When a company like VLNC takes years to get a manufacturing process mastered, it is often an intrinsic, sometime intractable problem. The problem is surely not the lack of a market, nor the lack of investment funds into the process (I think that VLNC has already chewed through more than $200 MM of OPM for that purpose), so either management has been, so far, completely incompetent at bringing the process on line, or the process as conceived cannot be commercialized. I don't know which one it is, but whichever it is, it is no longer of interest to me.
