Well, Seaside, I disagree with you over who tossed the first stone in Russell v. Seaside, but I believe your understanding of tossing may differ from others.

I do agree with your analysis of what will still be available under the line of credit, except that technically, I don't believe the company has any right to draw against the LOC by the time the warrants likely will be exercised. I think draws under the LOC must be made by the end of September, 2013, with the facility maturing on January 1, 2014. I think the warrant exercise period ends in late December 2013. But drawing against the line before September 30 seems like fair game (see below, though).

In terms of drawing down on Mann's LOC before using other sources of cash, like this current offering, perhaps he figures why loan more money to MNKD, when poor/inconclusive results in August may sink the company and he could lose even more. He's invested quite a bit of money, not to mention sweat. Not exactly sure how Mann can legally stop the company from drawing first and selling stock later, other than to come up with a solid business reason why MNKD is no worse off selling the stock first and keeping the LOC availability in reserve. Also, there may be strings attached to the LOC, so who knows, although I do not believe there are any covenants that must be maintained, but there may be some conditions which must be satisfied - don't know.

So what's the status of the latest offering? Any sold yet? Price is acting far stronger this week than I figured.