Run of River Power Inc V.ROR

RE: RE: RE: Green Energy bankrupt

[smoking81]

At September 30, June 30 and March 31, 2010 and for three of four quarters in 2009, the Debt Service Coverage

Ratio was less than 1.00:1. Pursuant to the Loan Agreement, the Company has notified its lenders of this event of

default and has received a waiver subsequent to each period. This company needs to pay at least $1M each year in filing fees to stay compliant so that it can continue to be listed. On top of that there are wages and rents. The lenders will require some kind of fees now that they have been in default for over two years. How long before the loan gets called? 

The Company has entered into various consulting and employment agreements with officers and consultants of

the Company whereby the Company has agreed to pay salaries and fees ranging from $5,000 to $15,833 per

month with various effective terms. Payments that can be projected with certainty total $695,000 for

the 12 months ended December 31, 2011.

Assumptions are that future costs to get loan out of default is minimum $1M so that DSCR gets back above 1.3 requirement from the present 1.
Salaries
.7M as above
Filing Fees $1M
Severence packages
.3M estimate
To develop the Skookum project they require minimum $20M
There is very little in the bank and they only raised just over $1M. Where does the rest of the money come from?