Ann: 2017 Annual Report, page-23

I agree with the head count issue. They really haven't looked after the cash as their own. Ramp up was way too rapid in sales team on an unproven sales model. As mentioned in the conference call there are some regions where they were ahead of budget. So they can implement the more effective model across all regions with the newly promoted sales head.

I had a look at the Australian staff via linked in and they had at least 12-15 staff whilst annual sales were not much over $1M. So the direct sales model here was never going to work with that kind of efficiency.

Ultimately, we know this product is worth more in their competitor's hands than this single device company. The end game is to generate enough sales and interest for one of their competitors to take out.

I am also concerned about the dilution in shares in the process of hitting break even. Main costs are the head count which is ridiculous for a company of this size. So there is plenty of fat to be cut out. Still don't know why they need 2 manufacturing sites. There is probably a chance that they could increase their loan from Oxford to minimize allocating new shares.

Interesting to note Alan Moss (ex Macquarie Bank head) is an investor in AXP. He had some curly questions in the conference call.