Cash Drops by 59 milliion in the Quarter-Liabilities Exceed Assets
A 20% drop in cash reserves in one quarter. Not good. $201 mil left in cash at the end of March, 2013.
Long term liabilities increased by 17 million to ($331,417,000). Total assets of $271,331,000.
Accumulated deficit of ($60,086,000). Book value is negative. Under the classic definition of BK
...ie, liabilities exceed assets, AMRN is BK....
Golongin2008...You are an old friend from many MB's such as SIGA, PIP, CLSN, PCYC and many others...but you are wrong on this one! Start ups (product launches) are expensive...look at the $201M in cash.....who would not like a new product and $201M in cash? Come on man....we are not looking like BK!
Brn...Nice to hear from you and glad you are doing well. My intent was never to imply the company was going BK. but simply from an asset to liability standpoint, they technically fit the definition.
They have 200 million plus left in cash. Assuming the rate of cash depletion will decline in the next and following quarters they should have a least a full year from now before things get "dicey" or they need to raise funds, probably by some private placement or public offering. That would not be good for shareholders. Launching Anchor is going to require substantial cash as well.
Bottom line is the next two quarters they need to generate some real cash. Sounds like they think they can do it though so I wish all longs the best and hope JZ comes through!
Golong: I wouldn;t go that far, but money will become an issue a couple quarters down the road if all stays static!
Still stop being so melodramatic. They aren;t going bankrupt anytime soon! Some bios are running around with 20-50 million in cash! I also expect maybe some downsizing on spending now that start-up commerialization costs are factored in---some start up processesdon't have to be get paid for over and over and over---just once up front. It costs more to get started than it does to maintain the gears running!
The deal didn;t happen last fall (as it should have to circumvent now) and GIA road is an expensive proposition---longs like Jesse Liverspot constantly praying for keeping this forever to $100/share will have to pay for keeping it forever---1$00.00 seems far off Jesse eh---stick to medicine you PUTZ! All are just going to have to endure this period. Courtesy of uber longs with visions of sugar-plums dancing in their heads!
Kutz...Didn't say they were "going bankrupt"....I said by the classical definition of bankrupt-
they met it. When you've pledged the majority of your tangible and intangible assets already in the last debt deal, and you're going though almost 60 million a quarter in cash, and you have 200 mil left in the bank, something has to change within the next four quarters....