RIND - Enjoy These Lofty Prices Before The Dilution Returns

Just one year ago RIND pulled a 10,000-1 reverse split on its shareholders which was preceded by a  5,000-1 reverse split in 2008.  The same fate will come to RIND shareholders, it is only a matter of time.  Today RIND released some press that moved the stock from $.0001 to $.0004.  The smart traders were on the sidelines for this trade because they know how ugly this stock is.

Here is a 3 year chart of RIND.  It's been a money pit for shareholders and an absolute gold mine for its CEO Richard Berman, whose been mining dollars from shareholder for many years now:

I'd stay far away from this one, unless you want to to help finance Mr. Berman another fancy car.

CBAI - Losing Over $2 Million Per Quarter Revenues Decreasing, Outstanding Shares Exploding

I urge anyone interested in CBAI to look over their SEC filings. Don't rely on the company press releases, as they are misleading. The are protected by the "forward looking statements" at the bottom of the press release.  It didn't take long to come up with some very compelling facts about CBAI.


Here is a link to their last quarterly report:  CBAI Sept 30th 10Q


Let's cut right to the chase:

• CBAI is losing money at an ever increasing rate, and revenue is on the decline, not rising as the current stock price pump would lead you to believe.

THREE-MONTH PERIOD				THREE-MONTH PERIOD
		ENDED				ENDED
		SEPTEMBER 30,				SEPTEMBER 30,
		2009				2008
Revenue		$	838,238			927,359

Net loss                                (2,298,943)                                (1,610,642)
Shares Outstanding      2,775,994,889                        258,075,887                                                    

• The outstanding shares have increased from 258,075,887 to 4,568,253,327 on November 9th.  That's an astounding growth in the outstanding shares.
  

• Over that same time revenues have fallen and net loss has risen.  The company is losing over $2 million a quarter.  They have lost close to $6 million in the last 9 reported months.

Straight from the 10Q:

Results of Operations for the Nine-Months Ended September 30, 2009

For the nine months ended September 30, 2009, our total revenue decreased approximately $0.7 million, or 22.1% to $2.6 million. Rain’s revenues decreased approximately $0.5 million, or 71.6%, due to the steep down turn in the economy, and also due to the change in the Rain business model as well as our management decision to deemphasize this business.

Cord’s revenues decreased $0.2 million or 8.8%, to $2.4 million, because of significant cutbacks in marketing and advertising due to a lack of capital. Cord remains focused on strategic organic growth and accretive acquisition strategies, which management hopes will reduce or eliminate the losses and negative cash flow.

Liquidity and Capital Resources

We have experienced net losses of $6.0 million and $5.4 million for the nine months ended September 30, 2009 and 2008, respectively. At September 30, 2009, we had $158,164 in cash. We currently collect cash receipts from operations through both of our subsidiaries: Cord and Rain. Cord's cash flows from operations are not currently sufficient to fund operations in combination with its corporate expenses. Because of this shortfall, we have had to obtain additional capital through other sources as discussed in Note 4, Notes and Loans Payable. 

Are you guys following this?

Since inception, we have financed cash flow requirements through the issuance of common stock and warrants for cash, services and loans. As we expand our operational activities, we will likely continue to experience net negative cash flows from operations. We hope to be able to obtain additional financing to fund operations through equity offerings and borrowings to the extent necessary to provide the necessary working capital. Financing may not be available, and, if available, it may not be available on acceptable terms. Should we secure such financing, it could have a negative impact on our financial condition and our shareholders. The sale of debt would, among other things, adversely impact our balance sheet, increase our expenses and increase our cash flow requirements. The sale of equity could, depending on the terms of its placement, among other things result in dilution to our shareholders.

These words are not mine but straight from CBAI's 10Q. I once again urge you to read it.

If I had to give the cliff note version of it:

CBAI is losing money at an ever increasing rate, our revenues are on the decline, we don't have the funds to continue operating unless we can sell stock and dilute our loyal shareholders. 

When CBAI is back at $.003 don't say the Guru hasn't warned you.

EWRC - Covering It's Ass

Take a cruise over the EWRC's company web site. It's chock full of fabulous info and then at the bottom you find a very noticeable link to its Safe Harbor Statement.

http://www.eworldcompanies.com/safe_harbor_statement.php

In case you don't have the time here is the Safe Harbor Statement directly from EWRC's web site:




Safe Harbor Statement
eWorld Companies, Inc.

"Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995: This site includes "forward-looking statements" intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. These forward-looking statements generally can be identified by phrases such as eWorld Companies or its management "believes," "expects," "anticipates," "foresees," "forecasts," "estimates" or other words or phrases of similar import. Similarly, such statements herein that describe the company's business strategy, outlook, objectives, plans, intentions or goals also are forward-looking statements. All such forward- looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those in forward-looking statements.

The forward-looking statements included in this release are made only as of the date of this release and the company undertakes no obligation to update the forward-looking statements to reflect subsequent events or circumstances.


The pennystockguru can give you this same safe harbor statement in one quick sentence:

"We can say whatever we want and get away with it"

So there you have it. EWRC in very obvious fashion is covering its own ass on its web site to be sure investors know that statements on that web site are forward looking and thus can not be relied upon. To the average investor this might not be something they understand, comprehend, or even care about. But to anyone looking to make an investment this should be a red flag.

Another red flag should be the obvious selling of stock during recent trading sessions. Today the stock succumbed to selling pressure falling over 20%.

Look at the selling on our chart:





If the selling picks up in earnest this stock could be back at $.0001 before Morales returns from his trip to Washington (PR pasted below). That $.019 offer for all 6.638 billion EWRC shares is looking more obscene by the day. Please tell me why this stock continues to fall while a supposed $.019 bid sits on the table? Are we not right in calling out this obvious misleading of investors? We'd enjoy some feedback. If you are an EWRC investor please tell us we are wrong and why you are buying this stock.




CEO Henning Morales Goes to Washington D.C. and Kicks Off Sponsorship Alliance With National Hispanic Foundation for the Arts at Gala Event Where Supreme Court Justice Sonia Sotomayor Was Special Guest

LOS ANGELES, CA, Sep 17, 2009 (MARKETWIRE via COMTEX) -- eWorld Companies, Inc. (PINKSHEETS: EWRC) and the National Hispanic Foundation for the Arts have agreed to a series of cross-promotional efforts to promote one another's activities and charitable causes. The program got under way this week in Washington, D.C. when eWorld was presented Monday evening at a VIP Salon Dinner and Tuesday night at the Foundation's Annual Gala. This year's gala was themed "Noche Musical" to help launch "Latin Music USA," a four-part PBS documentary airing next month, and the guest list included a veritable "Who's who" of insiders from Washington, Wall Street and the entertainment industry including special guest new Supreme Court Justice Sonia Sotomayor. Others in attendance included Secretary of Labor Hilda Solis, FCC Chairman Julius Genachowski, Executive Director of the President's Commission on the Arts & Humanities Rachel Goslins, and a wide range of A-list celebrities, politicos, and executives including representatives from NBC Universal, Disney/ABC, Fox Entertainment, CBS Corporation, Ford Motor Company, AT&T, The Coca-Cola Company and others. eWorld was represented by CEO Henning Morales and Sr. VP Don Grenough, and video footage and still photos of the event will be available soon on eWorld's Boomerang Media Station(TM).

eWorld and NHFA will continue to work together on a series of additional activities, including eWorld's sponsorship of a special fund-raising event for NHFA's charitable causes, which will take place in Los Angeles during Grammys week, in conjunction with the eWorld Music Awards Show on January 29, 2010.

The NHFA was co-founded by Jimmy Smits, Sonia Braga, Esai Morales, Merel Julia (widow of Raul Julia), and Washington, D.C. attorney Felix Sanchez, to increase participation of Hispanics in the entertainment industry. The Foundation offers graduate scholarships and an outreach program at prominent colleges and universities for young Latinos aspiring to careers in entertainment and media. It also seeks to expand career opportunities for existing talent in all aspects of entertainment, telecommunications and performing arts.

ABOUT EWORLD COMPANIES, INC.

eWorld Companies, Inc. markets and distributes cutting edge Internet technologies through its International network of Affiliates, users and strategic partners. eWorld's patent-pending Boomerang Media Station(TM) is a free Internet application that features exclusive and third-party movies, music videos, webcasts and other streaming video content delivered via its unique state-of-the-art broadcast quality video player.

For further information visit www.eworldcompanies.com or call (310) 471-7674.

Safe Harbor Statement: This release contains forward-looking statements with respect to the results of operations and business of eWorld Companies, Inc., which involves risks and uncertainties. The Company's actual results could materially differ from those discussed. The Company intends that statements about the Company's future expectations, including future revenues and earnings, and all other forward-looking statements be subject to the "Safe Harbors" provision of the Private Securities Litigation Reform Act of 1995.

Contact:
Henning Morales
CEO
(310) 471-7674