(1) Can wait till for chapter 7, but, then we have the headache of creditors and the court. Settlement off-the court gives an opportunity to take-out (sack) those useless board-members and put this company on track.

(2) Dont get me wrong, keeping the interest of investors who helped PHMD when needed the most, should be kept into account and Ch-11/7 may not help them and us.

(3) Agree with you on - not to account for "goodwill" but the tangible IP's and rights to the devices is lucrative at the offered price between 3 and 7. A "smarter" sales team and a more "responsible" support and research team is what PHMD would need. So prune and fire who are not needed in those dept could be a way to go. But, keeping the "knowledgeable" folks should be a good practice.


So based on the numbers you mentioned:
$31M debt +
$8M asset +
$6M loss from operations +
$2M closing cost
$2M Grace (for fire-compensation)
=========
Approx $50M in-cash, to take them and also to take-them-private and also to clean-off the balance sheet off the debt-load. That's gives some perspective numbers to this deal now. Approx $50M / 9M to 10M outstanding-scrips make us near to $5 per share. hmm...

wavelite & martin - thx for your inputs.

That's something to start with.