If PRWM is not spending significantly more money than they bring in (bleeding cash) as you claim then how do you answer these questions?
Why did they need to raise $39 million in a secondary stock offering last year?
Why did they need to borrow $14.7 million last December?
More importantly, what happened to that $39 million and that $14.7 million since they ended the year with essentially the same amount of cash they started with?
Why do they need to borrow $35 million this year?
I’ll give you a hint what the answer is to all of the above...their expenses are far greater than their revenue. They paid the bills only by borrowing money and selling additional stock. That is the definition of bleeding cash.
Cash Flow Statements don’t lie…PRMW had negative cash flow of $35.2 million from operating activities and investing activities in 2011. That is a fact.
One last question that none of you seem to ever answer…If positve EBITDA is such a non-brainer positive indicator why is the stock trading at $1.50?
And try to answer the questions without your typical silly name-calling.
"there is no issue with the health of the business"
You are completely delusional and disconnected from reality. You really deserve to lose your money, that statement says it all. A company which stock has fallen from $16 to $1. A company that just cut 40% of its workforce. A company that is struggling to find lenders. A company that never had a profit in 8 years... and you say the business is healthy. This goes beyond common sense. You should quit investing NOW, for your own sake.