MSCL.com

I'm just curious. Was there any profit in this set if AU did it right? Did they need to budget everything precisely in order to just break even? The situation certainly "smells" like they ran out of money and are using delaying tactics hoping for cash from somewhere else to arrive, or just staving off bankruptcy for a little while longer. Did they manage to screw up their finances big time, or was it that they didn't realize this was a losing proposition until it was too late?

keithhelms wrote:I'm just curious. Was there any profit in this set if AU did it right? Did they need to budget everything precisely in order to just break even? The situation certainly "smells" like they ran out of money and are using delaying tactics hoping for cash from somewhere else to arrive, or just staving off bankruptcy for a little while longer. Did they manage to screw up their finances big time, or was it that they didn't realize this was a losing proposition until it was too late?

Without getting into specifics and numbers, if AU had done things properly they would have walked away from this very happy. As it turns out, they're sitting even better since they haven't refunded many people's orders, and hardly paid anyone. The problem with the situation right now is they've committed fraud, where the ideal situation would have had them producing more limited box sets and bringing in more money.

Gord

Based on info from all the posts, I would guess:

2500 Preorders x 89.00 = 222,500
1200 Additional Orders x 115.00 = 138,000

Total Retail =360,500

Subtracting:

Wholesale cost of the sets: About 50.00 each x 3,700 sets = 185,000
Lunchboxes: 16,000 (based on the fact they owe 8000, and are assumed to have paid half so far.)
Bonuc Disc: 16,000 (I have no idea what the actual figure on this is, let's assume it's the same as the lunchboxes.)

EQUALS 143,500 in profit. Not too shabby a number. Yet it appears AU can't even cover the 185,000 for the sets. Where the hell did all that money go?