The Income reported /sales is better than I expect
Post# of 75392
Posted On: 02/22/2016 6:47:45 PM
The Income reported /sales is better than I expected as well as the accrued deficit balances.
There are some points in the filing though that have me a little concerned(but not surprised)
1-Roy Meadows
In October 2015, the Company entered into a $500,000 note payable at 12% simple interest for a one year period with Roy Meadows.
On January 22, 2016, the Company filed an Information and Disclosure Statement for the Period Ended December 31, 2015 disclosing the terms of the Series C preferred stock that was issued to Roy Meadows in exchange for his convertible debt on
November 16, 2015. In that filing, the Company listed Roy Meadows as a Control Person since he owns 100% of the outstanding shares of Series C preferred stock and converted over 10% of common stock from his convertible debt. Since that filing, Mr.
Meadows has issued demand letters to the Company claiming the Company violated the term of his exchange agreement by naming him a Control Person.
does not agree with Mr. Meadow’s position.
2-Canada deal dead
In June 2015, the Company entered into an exclusive manufacture and supply agreement with Rodney Peterson or his designee, Rocky Mountain High Canada (RMHC) for distribution rights to Rocky Mountain High Canada, Inc. Under the agreement, RMHC was required to pay the Company $500,000 before June 30, 2015 and submit an additional $150,000 prior to the production run for the 1,000,000 cans of product covered under the agreement. At this time the Company does not
expect Rodney Peterson nor Rocky Mountain Canada, Inc. to fulfill its contractual obligation. Rocky Mountain High Brands, Inc. has filed a breach of contract law suit with the objective of recovering outstanding obligations. The Company received $200,000 on July 29, 2015 and $300,000 on August 28, 2015 and has recorded as deferred revenue in the accompanying balance sheet at December 31, 2015.
There are many other debt instruments listed that I am not a expert on.
While I am happy that they accrued more sales than I expected, I am hoping the "behind the scenes" stuff gets squared away as it isnt going to help that
1-Roy Meadows is mad at them
2-Canada guys depsoited 500k which they want back.
Anybody with better knowledge than I?
There are some points in the filing though that have me a little concerned(but not surprised)
1-Roy Meadows
In October 2015, the Company entered into a $500,000 note payable at 12% simple interest for a one year period with Roy Meadows.
On January 22, 2016, the Company filed an Information and Disclosure Statement for the Period Ended December 31, 2015 disclosing the terms of the Series C preferred stock that was issued to Roy Meadows in exchange for his convertible debt on
November 16, 2015. In that filing, the Company listed Roy Meadows as a Control Person since he owns 100% of the outstanding shares of Series C preferred stock and converted over 10% of common stock from his convertible debt. Since that filing, Mr.
Meadows has issued demand letters to the Company claiming the Company violated the term of his exchange agreement by naming him a Control Person.
does not agree with Mr. Meadow’s position.
2-Canada deal dead
In June 2015, the Company entered into an exclusive manufacture and supply agreement with Rodney Peterson or his designee, Rocky Mountain High Canada (RMHC) for distribution rights to Rocky Mountain High Canada, Inc. Under the agreement, RMHC was required to pay the Company $500,000 before June 30, 2015 and submit an additional $150,000 prior to the production run for the 1,000,000 cans of product covered under the agreement. At this time the Company does not
expect Rodney Peterson nor Rocky Mountain Canada, Inc. to fulfill its contractual obligation. Rocky Mountain High Brands, Inc. has filed a breach of contract law suit with the objective of recovering outstanding obligations. The Company received $200,000 on July 29, 2015 and $300,000 on August 28, 2015 and has recorded as deferred revenue in the accompanying balance sheet at December 31, 2015.
There are many other debt instruments listed that I am not a expert on.
While I am happy that they accrued more sales than I expected, I am hoping the "behind the scenes" stuff gets squared away as it isnt going to help that
1-Roy Meadows is mad at them
2-Canada guys depsoited 500k which they want back.
Anybody with better knowledge than I?
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