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LIQUIDITY AND MANAGEMENT'S PLAN
12 Months Ended
Jun. 30, 2013
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
NOTE 3 - LIQUIDITY AND MANAGEMENT'S PLAN

Historically, the Company has financed its operations through operating revenue, loans from directors, officers, stockholders, loans from the Chief Executive Officer and majority shareholder and private placements of equity securities.  

 

 At June 30, 2013, the Company had positive working capital of $1,124,476 when compared with negative working capital of $2,345,977 at June 30, 2012.  This $3,470,453 increase in working capital is principally due to the receipt of proceeds from the Private Offering and Director Investment in March 2013, and decreases in deferred revenue and current notes payable during the period ended June 30, 2013.  While no assurances can be given, management currently believes that the Company will continue to increase its working capital position, and thereby reduce its indebtedness in subsequent periods utilizing existing cash resources and projected cash flow from operations.  In addition, management may also refinance or restructure certain of the Company’s indebtedness to extend the maturities of such indebtedness to address its short- and long-term working capital requirements.  Management believes that these initiatives will enable us to address our debt service requirements during the next twelve months, as well as fund our currently anticipated operations and capital spending requirements.  The financial statements do not reflect any adjustments should cash flow from operations be insufficient to meet our spending and debt service requirements, and we are otherwise unable to refinance or restructure our indebtedness.

 

On September 4, 2012, the Company announced that its Board of Directors had approved a share repurchase program (the "Repurchase Program") of up to $2.0 million of the Company's common stock over the next two years, or such other date, which ever is earlier, when the Repurchase Program is revoked or varied by the Board of Directors.  The Repurchase Program does not obligate the Company to acquire any particular number of shares of common stock, and is contingent on the redemption by the Company of its Series A Convertible Preferred Stock.  The Repurchase Program may be suspended, modified or discontinued at any time at the Company's discretion without prior notice.