|To: scion who wrote (10035)||7/28/2011 9:53:23 AM|
|From: scion||Read Replies (1) | Respond to of 34097|
|The Company has restated its 2009 consolidated financial statements previously issued on March 31, 2010 for matters related to the following items: |
Rawnoc Share Saturday, July 23, 2011 10:44:12 AM
Re: dreaminbig post# 122716 Post # of 124437
Yes, the RESTATEMENTS were NON-CASH. You think otherwise?
Then you think falsely. The restatements corrected lines on the financials for NON-CASH accounting numbers such as Goodwill, media credits, etc. Not a single penny of CASH items were affected. Real accounting fraud involves making up sales, earnings, hiding cash debt, making up cash balances, SOMETHING. Not non-cash numbers.
JBII used incorrect accounting methods -- reverse merger accounting where they should have used forward merger accounting which had zero effect on revenues, cash flows, etc. The amount they paid (cash) for everything remained unchanged with the restatements. The way the non-cash items were expensed were restated SIX WEEKS after the 10K was filed.
I know this makes for a lousy conspiracy theory and after 2 years of people spending 24/7 trying to find something -- anything -- turned into nothing at all, and I know it's extremely disappointing for a bear to do all that work for nothing....but it is what it is. Onward and upwards. :)
BRIG_88 Share Saturday, July 23, 2011 10:57:01 AM
Re: Rawnoc post# 122718 Post # of 124437
Well put...nobody is saying JBII didn't make any mistakes..they did...they also FIXED the mistakes.....the SEC is probably going to to fine them for it....but this isn't the catastrophe some are trying to make it out to be....
dreaminbig Share Saturday, July 23, 2011 11:58:20 AM
Re: Rawnoc post# 122718 Post # of 124438
The Company has restated its 2009 consolidated financial statements previously issued on March 31, 2010 for matters related to the following items: (1) the original accounting for the acquisitions of Javaco and Pak-It which was improperly recorded as a reverse merger, whereby pre-acquisition operations of the acquired entities were erroneously reflected in the operations as originally reported; (2) the valuation and subsequent impairment of media credits; (3) the original acquisition of the assets of John Bordynuik, Inc. was improperly accounted for at fair value; and (4) equity issuances. The accompanying financial statements for 2009 have been restated to reflect the corrections. The effect of this restatement to the financial statements is a decrease in total assets of approximately $11,507,000, an increase in net loss of approximately $2,179,000 and a decrease in equity of $11,809,000.
Here is an interesting article about equity issuances.