Zenith’s interim financial results are up on SEDAR. These should finally put to rest the assumptions here and on the RVX board that Zenith has or should lend RVX money. There is none to lend. Zenith, at Jan. 31 had US$1.23 million cash and payables of US$3.51 million. This is an improvement from the quarter before when they had US$0.56 million cash and US$3.83 million in payables. They lowered what they owed RVX from $1.21 million to $0.96 million.

One place that some of the cash went was DM had lent the company $400,000, a relative of his had lent $800,000 and another director had lent $200,000. All of this has now been repaid except $76,000. There is $7.25 million dollars as a liability on the balance sheet as Unearned License Revenue. This is the net upfront and milestone payments from Newsoara. They are a liability until the terms of the agreement are completed and then become earned revenue. There is also an unearned deposit of $1.11 million of which I am not sure what this is.

The company burned just shy of $1 million per month (they say $0.8 million but it is almost $1 million) for the quarter. Three months @ $1million/month and $1.3 million of loans repaid to those three parties used up the bulk of the $5 million from Newsoara in December.