New national media campaign -2 be paid for w/existing cash +projected free-cash flow.
"Any share issuances required to finance this campaign will be done in a non-dilutive manner with management canceling an equivalent amount of shares issued."
- Anyone know what this means? Where would these shares to be cancelled come from that would make any new issue non-dilutive?
Text of announcement:
mCig announced the deployment of a national media campaign for mCig and VitaCig products. The campaign marks an important milestone for the company as the business is now positioned to reinvest excess cash-flow generated from the sale of products in growth-based strategies. The company is also pleased to report that its base of near-term capital is at an all-time high consisting of nearly $500,000 in cash, cash equivalents, and inventory held for sale with zero debt and 99% of outstanding orders fulfilled as of May 19, 2014.
The campaign will officially launch on May 22, 2014 with increased tenacity over the next six months. In total, mCig, Inc. will spend a minimum of $1,000,000 on the campaign over the first six months. The projected budget will be capitalized from existing cash resources as well as projected free-cash flow. Any share issuances required to finance this campaign will be done in a non-dilutive manner with management canceling an equivalent amount of shares issued.