Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : VALENCE TECHNOLOGY (VLNC) -- Ignore unavailable to you. Want to Upgrade?

To: Zeev Hed who wrote (6559)	1/1/1999 7:51:00 PM
From: Larry Brubaker	Read Replies (2) \| Respond to of 27311

Zeev: I wonder if the cash from financing activities for the 3rd quarter included a payment received from Delphi when they ended their relationship with VLNC? I think this was around $2.5 million. Berg, to my knowledge, has only provided $2.5 million of his $10 million commitment. The press release and the filings indicate the conditions on his additional $7.5 million remain the same. That is, they are attached to milestones such as a material purchase order. From what I can see, the key to the situation is how close are they to shipping $4 million and tapping into the IDB money and Berg's additional $7.5 million? If they can ship $4 million before they otherwise run out of money, I would think they could raise whatever they may need for cash flow purposes from non-toxic sources. On the other hand, if Murphy delivers more problems and they run out of money before they've managed to ship anything, then all hell could break lose. That is why I thought the S-3 was quite worrisome because it implied there still may be more layers of the onion to peel. If the onion is now peeled and they are now producing a good product in volume, I think its possible they could get through their cash flow crunch relatively unscathed.