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Biotech / Medical : VVUS: VIVUS INC. (NASDAQ) -- Ignore unavailable to you. Want to Upgrade?

To: DaiS who wrote (13528)	8/17/1998 7:10:00 PM
From: Mkilloran	Respond to of 23519

dias...it means that they are in the process of borrowing $10 mill using the plant equiptmt as collateral. $7.5 mill up front $2.5 mill after certain milestones in 3rd and 4th qtr. In simple terms like a home equity loan or putting your car up for a loan....you still own it they give you cash to use as working capitol you make payments. .....Didn't mention in the first message but they are also looking at receivable financing and a line of credit. Receivable financing...works in a similar way...instead of waiting on Astra and Janssens payments..they can borrow more money aginst what is due in sales. Line of credit...just that like overdraft cheching protection... borrow when they need it...up to a predetermined limit.