First off,
please be educated about this announcement, and the “why‘s” pertaining to some of the questions one might have. Then, and only then, after educating ones self, reading the attached links - one can form their own educated assessment or opinion. Most importantly, if this announcement pertains to your racing livelihood,
no matter the car form thereof, I would highly suggest you read every word of the analysis link in detail. Especially the last few paragraphs quoted below in Item 18 referencing “Liquidity and Capital Resources”, then followed with the 5th paragraph in Item 19, also quoted below. I would encourage everyone to read all of the analysis in it’s entirety, to grasp the bigger picture in-hand, thus being as educated as possible.
WRGI stock report -
http://www.marketwatch.com/quotes/wrgi
WRGI analysis in full -
http://www.marketwatch.com/news/stor...C4E223982A8%7D
Originally Posted by :
The Company generated $10.6 million in revenues during the six month period ended June 30, 2008; however, we have not yet achieved a profitable level of operations. Our primary source of funding for our operating deficits during the quarter ended June 30, 2008 has been from cash on hand and the issuance of notes payable.
During the six months ended June 30, 2008, the Company used $2.8 million in operating activities primarily the result of a net loss of $6.4 million, depreciation and amortization of $0.4 million, non-cash stock compensation of $0.9 million, non-cash interest expense of $0.8 million and other working capital changes, primarily accounts receivable, accounts payable and accrued liabilities.
Originally Posted by :
The Company incurred a net loss of $12.7 million for the year ended December 31, 2007 and a net loss of $6.4 million for the six months ended June 30, 2008. The Company has an accumulated deficit of $79.8 million and negative working capital of $2.1 million as of June 30, 2008, which raises substantial doubt about the Company's ability to continue as a going concern. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.
