Pink Sheets

BakBone filed an 8-K amendment clarifying the accounting issues it's dealing with. It's worth reading, but just repeats the same stuff and says, in addition to 2004 and 2005, not to rely on financial statements from 2003, either, because they're also affected.

There's also an 8-K issued which includes the July 27 open letter to shareholders which I covered here.

It's easy to dismiss accounting issues and focus on increasing business and successes, but that's a recipe for disaster. These issues are important and could have significant impact on the value of the business. It reminds me of a section in the autobiography of John D. Rockefeller where Rockefeller is buying up oil refiners in the early days of the oil industry. He found that the refiners didn't have any grasp of how much money they were really making because they didn't understand a lot of accounting concepts. A lot of them were really losing money despite near term solid cash flow.

BakBone needs to get these issues sorted out in order to have a clear picture of what's going on within the business. That's a scary thing, but I'm invested just the same.