Free
Message: Waiting for the 10Q

Waiting for the 10Q

posted on Oct 29, 2008 12:04PM

I agree it will likely come sooner than the 11/14 deadline - say within two weeks from now.

Let’s assume that the 10Q contains no smoking gun; nothing to definitively point at a decent settlement figure... which means either:

1. The settlement amount was too small to matter

2. The settlement is yet to be reported in future quarter(s)

3. They were successful in hiding the amount through some magical accounting

Now I don’t really consider option 1 to be probable. I think the settlement was at least significant to EDIG even if it is considered modest to a larger company. But if options 2 or 3 turn out to be the case, then how/when might we get some idea as to whether the settlement was for a significant amount or not?

Consider this excerpt from my 9/18 post: (http://agoracom.com/ir/edigital/mess...

... imagine what a major shot in the arm a mere $5M would be for EDIG. They could erase their working capital deficit of $1,041,952 (as of June 30, 2008), pay off all debt, put almost $2M aside for the next year of operating expenses, and still have $1M to use as capital with which to help expand the eVU into additional markets.

The answer I think is that we will KNOW for sure when/if we get indications that EDIG is spending money. They may not be able to report the amount of the settlement, but what would keep them from reporting that they have paid their outstanding debts, eliminated their working capital deficit, and will be expanding the eVU into new markets? I can’t imagine EDIG NOT spending money in this way if they indeed have it to spend... and I can see no reason why they couldn’t or wouldn’t tell us that either in a PR or at least effectively in the 10Q.

Maybe this is how the word will get out. Let’s see if EDIG starts spending money.

- Sinkman

Share
New Message
Please login to post a reply