Aiming to become the global leader in chip-scale photonic solutions by deploying Optical Interposer technology to enable the seamless integration of electronics and photonics for a broad range of vertical market applications

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Message: Third Quarter

Not likely. They have fixed most of the DL issues according to their update. They may clean house at the senior levels given that they are asking for a substantial repayment of the stock issue. This is a trust issue and if it were me I would want my guy inside making sure that the commitments were met on time and no nasty surprises and cost control while meeting sales targets. If they can sustain the margin increase that they achieved in the last quarter and increase overall sales while constraining costs it is likely that they will hit their targeted positive cashflow. They were already well into the quarter when they issued their quarterly report so they probably have high confidence in hitting that target as there are fewer risks with the Denslight forecast than the POET new products. They already knew their capital and operating costs structure when they issued their update on Nov 28 so it is likely in my view that they will hit or ideally exceed their target of $1.8.

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