Military International Ltd. Files Audited Annual Report With SEDAR

Military International Ltd. [NEX: MI.H] has filed its audited annual financial statements with SEDAR for fiscal year 2007, ended June 30th. The financials [PDF file] got an unqualified opinion from the auditors.

There was no cash on the balance sheet for either fiscal year '07 or FY '06. Current assets went from nil in FY '06 to $775 in FY '07. Current liabilities more than doubled, from $144,152 to $324,703; consequently, the working capital deficit went from $144,152 to $323,928. Book value shrunk from -2.16 cents/share to -4.87 cents/share. The $50,835 used in operating activities was covered in full by an increase in the amount due to directors, put in the cash flow statement as a financing activity - the only one. Expenses ballooned from $5,092 in FY '06 to $179,776 in FY '07, pushing the loss per share up from 0.0762 cents to 2.69 cents. Military International has $1,801,664 of tax-loss carry-forwards, $757,422 of which expire in 2008. Note 4 explains that the advances from directors are accrued as loans payable; they have no fixed term of repayment and bear no interest. The $50,835 advance was net of $55,835, shrunk by a $5,000 payment from the company to its directors. The accompanying M D & A [PDF file] explains that the increase in expenses are due to re-activation and an attempt to get listed on the Tier 2 of the Venture Exchange. It also explains that a cease-trade order has been issued against it for failure to file financial statements, which has not been rescinded as of yet even though the financials are up to date as of now. MI.H remains suspended.