Enough!! Lets talk about this supposed "insider selling"
And keep in mind this deal did not happen overnight it happened before the finalization of the long term financing currently in place now. In other words they have enough cash to last them until Dec 2013 but with good sales they will have a steady cash flow this entire year and beyond. The point I'm trying to make it at the time of the transaction the company had not yet completed the long term financing currently in place and need a quick reserve of cash.
I might have done the same exact thing in their shoes.
Then the BIG news hit just days after this transaction took place of the final long term loan agreement which is now in place. So in many ways it's good that this happened and that the shares have already been absorbed into the float without affect the price per share at all.
This should now set the share price up for an even quicker climb to higher highs.
The long term loans are with Magna Corp and IronRidge and are quiet long agreements I don't have time to post them here but you can find them on the company web site and over at IHUB.
Working Capital and Liquidity
To provide the Company with the required working capital to continue operations, approximately $1 million in short term convertible debt and equity financing was completed. In order to maximize these new investments, the Company has enacted an operational restructuring strategy which includes a reduction in operating costs. Additionally, the Company has taken aggressive cost cutting measures, which include a furlough for production employees and a reduction in its worldwide headcount to 17 employees.
In order to improve cash flow, the Company adjusted their sales and shipment policy, requiring payment in advance of shipment and reducing terms to less than 30 days for large domestic companies.