"Effective December 25, 2012, the International Distributor Agreement with Nanshan Memorial Medical Institute (“Nanshan”) was terminated. Under the Agreement, Nanshan had the rights to sell, distribute, and service the MXP and Res-Q product lines in the People’s Republic of China and Hong Kong and could earn grants of restricted common stock of the Company in an amount up to 806,000 shares upon the achievement of certain milestones. As the distribution agreement has terminated, Nanshan is no longer eligible to earn additional shares of common stock."
I don't remember this being mentioned? Does anyone? thanks....
I am beginning to think so. If they can't find a way to exploit the PRP market somewhere in a reasonable amount of time , they should sell. China is looking like a dead end, you would think they would expand on the situation instead of sweeping it under the rug.
Selling the company would be a mistake. What would happen to Matt? Would he go to work at a CPA firm and have to take orders and work long hours with few perks? That would not cut the mustard according to Matt's wife Zelda. Her routine trips to Nordstrom, Saks, and the Ritz Carlton for lunch are a must have. No. The company will remain in its current position to run itself as a paycheck writing manufacturer as long as the scheme will deliver. If it ain't broke why fix it and it ain't broke until it is. Take that one to the bank commoners. hahahahahahahahahahahahahaha........
It was not mentioned at all. Hiding information like that serves no purpose, everyone interested will find out, all it does is undermine Matt's credibility. Very foolish approach.
And then there was this from the cc: "Before turning to the financial results, I wanted to mention that we have no updates on the complaint filed by harvest related to the rescue system, that we mentioned in our last call. Additionally, I do want to emphasize that our ability to grow our share in the PRP and bone marrow processing market extends to expanding the application base of both the MXP and AXP product platforms as well as new product innovations currently under evaluation. So to fully exploit this market, our strategy has always been and continues to be to leverage multiple platforms. "
It is not believable that Matt has no further information on the lawsuit. Maybe from a legal perspective the process hasn't advanced, but he surely has more information then what he gave last cc, that a complaint has been filed, and he has no further information. The rest of the above paragraph translates into: "we are going to lose the lawsuit and abandon ResQ PRP and BMC, but we still have MXP and AXP, and we are going to develop new platforms" He is laying the groundwork for that event. So consider the Artherex deal dead too. Which, by the way, he is relying on for the projected revenue for the remainder of this year.
"Depending on the timing of our launch with Arthrex and the continued projected growth of our core blood business, we would expect our quarterly revenues to be consistent with or better than this quarter for the balance of this fiscal year. "
well, as far as i know and remember, the res-q system was granted selling permit based on the axp and mxp technology, the fda regarded it as the same technology and no additional approval was needed. if that was the case i don't think that harvest has a case at all.
what matt said was simply to go back to the the axp and mxp platform which they had the permission to sell the product.
Thank you for the response and insightful comments/interpretation. What I found really strang was the analyst on the Q&A. I don't know where this guy came from, or even whether he was paid to ask a question. He asked about acquisitions. And I believe he got a response that did not rule such a thing out. Why would a teeny weeny company that is losing money and getting sued take such a question seriously. I could not help but laugh. What are they going to acquire? What also gets me is Matt's clinical pursuits. It takes many, many millions of dollars for clinical trials to bring a drug to market. Yet no mention of pursuing partnership. The CC was bizarre to me. I wanted to hold on to China approval and get my money back, - but I don't think I can wait too much longer. I'll takeit as a tax loss and invest where there is some sanity....