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In case you didn't bother to read all of Mark's post of the Omega 10-Q, here
is the paragraph I found most interesting. It looks like all those people
who think Omega will be discontinuing support of TS2K may be right, but for
different reasons.
Kent
LIQUIDITY AND CAPITAL RESOURCES
The Company currently anticipates that its available cash resources and cash
flows from operations will be sufficient to meet its presently anticipated
working capital and capital expenditure requirements for approximately the
next 12 months. However, the Company is experiencing a period of net losses
which is expected to continue at least through the year 2000. Further, as
the Company transitions to its new business model, it may need to raise
additional funds in order to execute that transition, support more rapid
expansion, develop new or enhanced services and products, respond to
competitive pressures, to acquire complementary businesses or technologies
and/or take advantage of unanticipated opportunities. The Company has also
recently substantially increased its rental obligations under real property,
facilities and equipment leases. The Company's future liquidity and capital
requirements will depend upon numerous factors, including the period of time
it takes the Company to execute its transition to it's new business model,
and customer acceptance thereof, costs and timing of expansion of research
and development and marketing efforts and the success of such efforts, the
success of the Company's existing and new product and service offerings, and
competing technological and market developments. The Company's forecast of
the period of time through which its financial resources will be adequate to
support its operations involves risks and uncertainties, and actual results
could vary. The factors described earlier in this paragraph, as well as
other factors, will impact the Company's future capital requirements and the
adequacy of its available funds. If additional funds are raised through the
issuance of equity securities, the percentage ownership of the shareholders
of the Company will be reduced, shareholders may experience additional
dilution in net book value per share or such equity securities may have
rights, preferences or privileges senior to those of the holders of the
Company's common stock.
There can be no assurance that additional financing (debt or equity), if
required, will be available when needed on terms favorable to the Company,
if at all. If adequate funds are not available on acceptable terms, the
Company may be unable to complete effectively its transition to its new
business model, develop or enhance its services and products, take advantage
of future opportunities or respond to competitive pressures, any of which
could have a material adverse effect on the Company's business, financial
condition, results of operations and prospects.
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