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"E-Waste Systems, Inc."

126 Posts
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  1. [verwijderd] 16 april 2014 00:22
    On March 26, 2013, EWSI entered into a set of agreements with XuFu (Shanghai) Co, Ltd, (“XuFu”) a company incorporated in the People’s Republic of China (“PRC”) and formerly known as Yazhuo, through which EWSI provides business development activities through its eVolve business unit headed by Daniel Feeney, Senior Vice President. The interests in XuFu were initially consolidated on the Company’s interim financial statements as a Variable Interest Entity (“VIE”). The contracts with XuFu enable the Company to legally operate in China to capitalize on the vast opportunity in that market for electronic waste disposal and other opportunities for EWSI brand development. The Company has analyzed the controls and processes in place at XuFu and has concluded that consolidation is not proper at this time pending implementation of appropriate financial systems and controls. Based on these facts and circumstances, the Company has concluded that it should not have consolidated the interests of Xufu in the Company’s interim period financial statements during the year ended December 31, 2013. To eliminate any doubt about the accounting treatment as of December 31, 2013, the Company’s Board of Directors has suspended the VIE. Accordingly, the Company has not consolidated Xufu in its consolidated financial statements to be published in the Company’s annual report on Form 10-K as of and for the year ended December 31, 2013. The Company will follow guidance in accordance with ASC 250 “Accounting Changes and Error Corrections” and take the necessary action as soon as practicable.
  2. [verwijderd] 16 april 2014 00:31
    "In 2013, the company acquired 100% of Surf Investments and entered into a series of lease arrangements through XuFu which was previously consolidated as a Variable Interest Entity. While the lease agreements are still in force and generating revenues, the company is working with XuFu to ensure that sufficient operational and financial controls are in place to warrant consolidation and has de-consolidated for the purposes based upon the suspension of the management and related agreements creating the VIE. It is expected that this will be resolved in the second quarter of 2014."
  3. [verwijderd] 16 april 2014 00:40
    "Expectations for 2014 are of three operational ePlant in three different continents by the end of the year. While the ePlants in Cincinnati and Geneva will be upgrades of existing technology, those will be new facilities using the best and most efficient technologies delivered on EWSI specs. A fully deployed ePlant can generate an annualized revenue stream of over $9M with basic working shifts and up to $36M for a continuous operation. The recent agreement with Chinese Technology firm Loyalty has generated the best mix of implementation strategy to offer a fully functional ePlant in just 6 months from the order of the hardware. Looking for new ways for an efficient and effective use of technology, EWSI is developing with its tech partners miniaturized recycling equipment to be provided to local partners in order to achieve a more efficient transportation. Further efforts have been put into expanding implementation of equipment for recycling of air conditioning hardware and refrigerators. Those two specific home appliances are becoming a sensitively big number in the ewaste stream and providing a complete recycling solution, including insulation. Recent developments with a US R&D firm brought into signing a letter of interest to test a Rare Earths Elements sorting technology into one of the EWSI’s operational sites in the US. REE are sorting is one of the last step into achieving the 100% no-landfill policy that EWSI is voluntarily committed to.

    L&M Agreements

    In the first quarter of 2013, EWSI began a focused operation to enter into the market in China and signed a series of agreements designed to increase revenues. Those agreements provided for EWSI to ‘manage’ the companies leasing and operating the business assets. This business model is becoming more and more popular since most of the companies in China do not support their accounting with auditing. The commercial strategy behind this is that a healthy financial audited company has more possibilities to raise capital or become target for an acquisition. For 2014 there are already in place agreements to further develop the existing contracts and there are new companies interested in joining this opportunity.
  4. [verwijderd] 16 april 2014 00:57
    Major acquisition planned in Europe before the end of this year.

    Three more acquisitions/Teaming Agreements planned domestically this year.

    E-Plants coming on line this year.

    Zero concerns on the TCA default. None. Nada. Zip. Contact the company if you have questions about this.

    Several Notes paid off (in shares of course, but still paid off).

    Cash on hand end of Dec 145K. My guess is Q1 2014 we see a dramatic increase in this field.

    SURF profitable for the entire year.

    2TRG IMO will be net profitable this year.

    E-Plant 1000s planned will generate 36M annually when running around the clock. 9M annually if one shift running. Very nice to see some numbers associated with these facilities.

    Overall a very honest look at the company without China revs included. With China on the balance sheet I think they accomplished 15 - 20M gross revs FY2013. Lets see if RBSM can weave this income onto the GAAP balance sheet.
  5. dadude 16 april 2014 10:55
    "The Company has incurred net losses of $7,176,801 and $1,568,257 during the years ended December 31, 2013 and 2012, respectively. Cash on hand will not be sufficient to cover debt repayments scheduled as of December 31, 2013 and operating expenses and capital expenditure requirements for at least twelve months from the consolidated balance sheet date. As of December 31, 2013 and 2012, the Company had working capital deficits of $3,253,407 and $1,848,779, respectively. In order to continue as a going concern, the Company will need, among other things, additional capital resources. Management’s plan is to seek equity and/or debt financing. However, management cannot provide any assurances that the Company will be successful in accomplishing any of its plans."

    Ik vrees dat er meer aandelen worden uitgegeven om sowieso te kunnen blijven bestaan, ondanks een lening van $5M (waarvan $1M direct opeisbaar).
  6. [verwijderd] 16 april 2014 15:08
    Bedankt dadude, ik had gisteren geen tijd om 't 10K te lezen en heb eigenlijk snapshots van een ander forum gehaald. Het ziet er inderdaad niet zo best uit voor de korte termijn, maar dat heeft eerder te maken met de onzekerheid rond de inkomsten van China. Die zijn echt, geen probleem, maar volgens de Amerikaanse/Internationale wetgeving moet de Auditor de interne boekhouding kunnen nakijken van 't bedrijf waar EWSI een Lease contract heeft & volgens de Chinese wetgeving mag dat niet. Dus kan een flink deel van de inkomsten niet geboekt worden... voorlopig althans.

    Wat betreft financiering, het was dus keuze twee, toen ik zei dat de vergroting van de AS kan leiden tot een deal of een financiering...

    Tenzij er goed nieuws uitkomt om dit rapport te compenseren verwacht ik een negatieve reactie van de markt. Misschien is dit maar van korte duur maar het kan best heftig worden. Ben benieuwd.
  7. [verwijderd] 17 april 2014 02:21
    Met m'n stokpaardje PTK dat 't zo goed doet heb ik maar weinig gevolgd van EWSI. Ik had een diep dal verwacht om daarna terug op te veren, maar dat leek eerder op een dead cat bounce. Ik had er nog uit kunnen stappen op 0.014 maar blijf zitten. Als ik meer tijd heb zal ik de situatie 'ns grondig onderzoeken en misschien nog bijkopen. Ik denk dat de 2de helft van dit jaar toch beter moet worden... De markt heeft alleen zekerheid nodig & goed nieuws en deze hele situatie kan snel omkeren. Maar voor nu: it sucks...
  8. [verwijderd] 17 april 2014 10:30
    ingestapt.long.de financien is maar een kant.en wie weet komen de china revenues op een of andere manier nog in de US boeken te staan.het heeft potentie en ze lijken me open in hun communicatie etc.
  9. [verwijderd] 23 april 2014 17:21
    Dear Fellow Shareholders:
    As you know, our 10-K was filed on-time but did not consolidate revenues from certain
    important operations in China and the USA for technical reasons. In the interests of
    transparency, assurance, and forward movement, it is important to explain what occurred and the
    strategy behind our current course of action.

    We began 2013 with a detailed and promising, if complex, strategy including a comprehensive
    business plan to rapidly build from the 2012 results - starting the year with small revenue and
    few assets, but with a solid goal of rapid expansion. Through a combination of strategic
    teaming agreements, licensing and leasehold agreements, we worked to accomplish our
    aggressive targets. Interest in our management, technologies, and supply chain spread very
    quickly and, by the end of 2013, we had acquired two operations in the United States, including
    three operational facilities and significant functionality. We also engaged in teaming and
    licensing agreements throughout the United States and other countries, including Australia,
    India, China, Italy, Argentina, Mexico, and more. In addition, we secured significant interest in
    our ePlants. We believe the combination of all of the above is a significant competitive
    advantage.

    In addition to that progress, significant resources were dedicated to gaining a measurable and
    sustainable foothold in China (the world’s second largest and fastest growing ewaste market)
    through agreements with a PRC company with whom we set the legal framework for our
    operations. We subsequently entered into a series of significant contracts to utilize the assets and
    reputation of specific operations in China (and the USA) --- with the objective to quickly and
    cost effectively secure certain key targets in the major markets in northern China, Shanghai, and
    New York. Those transactions involved the operation of significant assets through our business
    units and were structured to provide the foundation of business growth in targeted industries and
    markets largely in China, but also in the USA. Revenue from those operations were included in
    our 10Q filings based upon an initial review of the structure. While our belief that it was
    appropriate to report the results of that business on a consolidated basis, after careful
    consideration of all of the implications, we made the tough decision to voluntarily suspend
    certain of the agreements to adopt controls, structure, systems, and audit processes to our
    standards. The result of this decision was necessarily a de-consolidation for 2013 for accounting
    purposes. However, that did not negate or eliminate the business development opportunities
    achieved by our team in China nor did it slow down our progress in China and our investment in

    that market --- much to the contrary, we remain not only committed but we believe our approach
    of investing into significant and administrative systems will be our advantage in gaining superior
    market expansion. The revenue generated in China is substantial and is expected to continue to
    grow at very rapid rates. Our decision merely changed how we accounted for it in 2013.
    Our work is on-going and we expect significant, continued brand development in China and
    internationally – and at the same time, we will benefit from our work to date with improved
    systems, controls and agreements. The support from our managers in China has not wavered and
    we have reviewed our business development opportunities in great detail as we work on our plan
    to meet growth and other targets announced for revenues in excess of $50MM for this year.
    Paramount is our commitment to remain 100% compliant and to ultimately up-list for the benefit
    of our Shareholders.

    We recognized the need for changes in management controls in the China operations, and to
    meet those needs we appointed our Senior Vice President, Dan Feeney to oversee the eVOLVE
    Group. We expanded the involvement of our new financial and accounting team, supported by
    our commitment to adopt a state-of-the-art, fully compliant, multilingual, and cloud-based
    accounting software solution. These systems and these disciplined processes, will continue to be
    expanded as we grow and pave the way for our expansion.

    I remain highly confident that we are on track to accomplish our 2014 goals. Our company will
    continue to expand, and our commitment to tapping into the great opportunities available in
    China remains steadfast. With the fastest growing economy and the largest demand for e-waste
    solutions and ecologically advanced technologies, China represents the single greatest
    opportunity for growth for EWSI with opportunities created by our strong and talented business
    development team in that market. We are committed to business development and to utilization
    of a leasing program under the eVolve Group as a key part of our growth strategy.
    We have made significant progress in many other geographical areas, particularly in the United
    States, where the acquisitions of 2013 will be supplemented by an aggressive quest to close on
    other opportunities and in Europe and Asia where expansion of our brand is a key focus.
    We have a talented core management team, and we have great confidence that this team will
    continue to carry out our mission by integrating best practices, innovative strategies,
    revolutionary technologies, and global leadership into our operations and our network affiliates.
    From challenges arise opportunities. We see the true value in what we are doing, and remain
    absolutely committed to executing our plan, attaining our goals, and increasing value to our
    Shareholders.

    Sincerely,

    Martin Nielson
    Founder and CEO

    www.ewastesystems.com/wp-content/uplo...
  10. dadude 24 april 2014 16:03
    Heb de helft met 50% verlies gedumpt vorige week, maar inmiddels ziet de andere helft er weer goed uit ! Wat een open brief al niet kan doen...
  11. [verwijderd] 24 april 2014 17:38
    Het was effe tricky verleden week, dus kan ik de paniek reactie wel begrijpen dadude. Ik weet niet op welk punt je hebt aangekocht & verkocht, maar wat je vaak ziet bij aandelen die een snelle duik maken, als er slecht nieuws uitkomt, dan zie je een scherpe neerwaartse reactie gevolgd door een bounce. We gingen van 0.02 naar bijna 0.01 & dan zijn we terug opgeveerd naar 0.014, dus kon je 't verlies enigszins beperken als je dat precies moment snel kon timen, want je moet echt snel zijn. Niettemin ik had er wel vertrouwen dat 't 10k rapport op tijd zou zijn, gewoonweg omdat er te veel op 't spel stond. Over snel gesproken ik geen gebruik gemaakt van die paniek reactie & ik had best kunnen bijkopen rond 0.012. Toen de Letter to Shareholders uitkwam heb ik snel bij gekocht op 0.017 & heb ik m'n gemiddelde verlaagt naar 0.0215. Ik stond even groen op 0.025, maar nu terug op rood... Als ik snel genoeg had gereageerd kon ik ze verkocht hebben op 0.025 & dan de bidwhacks opvangen die we nu zien rond de 0.02...

    Maar 'k vond 't de moeite niet waard. Ik blijf zitten.
    Mits wat geduld kunnen we door stoten naar de 0.03 regio...
    Het heeft enkele maanden geduurd om zo laag te komen & 't kan best ook een tijdje duren voor we weer de weg omhoog hebben bewandeld, maar dat stoort me niet. Ik heb geduld...
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