Re: sketching an “anti-economist”
On Aug 21, 2007, at 3:27 PM, Jordan Hayes wrote:
Could you guesstimate an annual budget for the kind of pub that would be worth doing?
You could do worse than to take a close look at Salon.
http://biz.yahoo.com/e/070627/slnm.ob10-k.html
Not encouraging!
Salon has a history of significant losses and expects to incur a
net loss from operations for its year ending March 31, 2008.
Because of past losses, an anticipated loss next year and a history
of negative cash flows from operations, Salon’s independent
registered public accounting firm for the years ended March 31,
2005, March 31, 2006 and March 31, 2007 have included a paragraph
in its reports indicating substantial doubt as to Salon’s ability
to continue as a going concern. During the last three years, Salon
has relied on cash from the issuance of preferred stock and from
the exercise of warrants to meet its cash requirements. Based on
current cash projections for next year, including $8.1 million of
advertising revenues and $10.4 million of total revenues, Salon
estimates it will require an additional $0.6 million cash inflow to
meet operating needs. If planned revenues are less than expected,
the cash shortfall may be higher.