GoFuckYourself.com - Adult Webmaster Forum - Sponsor in Financial Trouble ???

Looks like one of the biggish sponsors are in a bit of financial trouble:

Quote:

ASX puts Adultshop on monthly report
By Allison Jackson
September 20 2002

The Australian Stock Exchange has turned up the heat on Adultshop.com after ordering the online sex products e-tailer to lodge monthly cash flow reports.

In a two-page letter to Adultshop.com on Wednesday, the ASX said it had amended the company's reporting requirements to every month.

A spokesman for the ASX said it was important investors were kept well informed about the company's cash flows.

"Clearly, the market could do with this information and, given recent publicity, which the company has acknowledged, it would obviously be useful information for investors to have in making their own judgements," the spokesman said.

In response to a request for a cash flow report for the two months to August 31, Adultshop.com said it had burned more than $9 million, leaving $8.44 million in the bank.

Receipts from customers during the first two months of the financial year earned the company $17.34 million, a rate well below the $42.3 million earned in the three months to June 30.

The ASX said it would review the amended reporting requirements after Adultshop.com reported its earnings for the six months to December 31.

Shares in Adultshop.com fell from 23.5c to 10c on September 6, the day it announced it would return a net loss for the six months to December 31 instead of an $11.6 million profit. They have since fallen to 8.5c.

Cash reserves would also fall from $30.35 million to between $10 million and $12 million.

Adultshop.com said changes to its credit card billing system had sparked an estimated 60 per cent decline in membership after a "significant" number of customers failed to meet new card validation requirements.

In the wake of the ASX share price query, non-executive chairman Reg Gillard and director Samantha Tough resigned. The Australian Securities and Investment Commission has also requested various documents under section 30 of the ASIC Act 2001.

This story was found at: http://www.smh.com.au/articles/2002/...054917873.html