GREY:LBEFF - Post by User
Post by
millrighton Mar 29, 2008 2:42am
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Post# 14920853
Financial Results
Financial ResultsSkimmed the results and accompanying information. Net loss for fourth quarter was $2.9 million, I had estimated it would be profitable, so some disappointment there. Revenue was less than I had estimated, and costs higher - but fixed costs are a factor at this low level of capacity.
Looks like the financing deal was increased from up to $21 million, to up to $25 million; interest rate increased to 14% and warrants from 150 to 200 per unit. Not a huge surprise, I mentioned this possibility earlier. The deal was initiated at a time when the financial markets were dicey, and they worsened during the period after initial announcement.
First quarter of 2008 will likely be tougher, than as McWatters kicks in, it should start turning around a again in last part of second quarter.
We'll see how the market reacts on Monday - then the next news might be the McWatters 43-101.