I hope we don't end up in CCAA. Companies like Ernst & Young or Deloitte seem to be able to drag those things out forever without accomplishing much as long as they can draw fees. When that starts to run out, they can shut a company down in a hurry. I would hope that if no deal or partnership can be had, that we could sell what we have, even at fire sale and pay off the debenture and payables and get some amount left over. Maybe not much. Preferred would be a sale worked out by RVX whether it is what it is worth or due to the times, a lot less than that but still something reasonable.

There is the US$12 million debenture plus interest that will be another $1.2 million ($0.4 mm @ Jan.31) by the one year anniversary. They are first in line. If RVX couldn't work out a sale they could possibly force us to CCAA because the IP, etc. was put up and that needs to be salvaged to sell at fire sale. On January 31, there was US$9 million in payables that would then have to be paid off. Hard to guess what that might be by then. There are assets but most are things like clinical supplies that you don't get much at fire sale. When all monies owing are paid off, it can then be divided at last by the common shareholders. I would think there would be value to split among shareholders but it is very hard to guess how much that might be. There is a huge spread between returns from real value, low ball value or fire sale value. Current conditions might have brought any of them into play. I'm not guessing which it might be. Hopefully RVX can work something out without going to fire sale. It would sure put us at ease if we knew there was something coming.

In the quarter ending January 31, the company burned US$4.75 million or $1.6 million per month. That is the real burn not what we get told as a burn rate. It includes R&D, General and Admin., interest, fees, financing, etc.