Today Blobel says 2014 anticipated revenues of $130-135 million. Exactly one year ago he said 2013 revenues would be $150-155 million! This is going backwards! Last year he said year end 2012 cash would be $87 million. Today he says year end 2013 cash will be $86 million. Wow! What a difference a year makes. But there's even more. Over the same one year period SCLN stock has gone UP 6%! However, the Nasdaq Biotech index over the past year has gone UP 61%! Even the S&P went up 30%. To add a bit more potential difficulty, the Chinese Health Ministry last week said that they can bar the sale of any company's products for 2 years if they are found to be involved in bribery. Just how bad is SciClone's potential exposure here?
PWC quits right at the beginning of the work for the 2013 audit. The timing can't be an accident. SciClone engages the PWC Chinese affiliate, but they and the Chinese affiliates of the other Big Four auditing firms were barred two days ago by a U.S. judge from auditing US-listed companies for six months. I guess there will be appeals to the ruling and such, but what happens with the timing of the 2013 audit? This is not good. E&Y quit about 10 months ago, now PWC just drops SCLN like a dead fish. What's next, besides DC Bead approval any day now?