The $657,000 revenue is shocking in its limited size.  However, in the
filing Febreze et al. have laid out a path to a ramp up in the
magnitude of this metric over the course of 2008.  There is also a
clear explanation as to why the numbers are what they are (i.e.
cyclical nature of advertising spend; how many clients were locked-and-
loaded to clock revenue during the quarter; lead time necessary for
sales force to queue up clients).

Other items of note:  increase in liabilities due to clear pattern of
not paying cash for bills and booking the payable; as of the date of
the filing, they had a bunch of people waiting for their money.....I
assume this issue was just a matter of timing, as they issued a juicy
convert on 4/18 that pushes out cash requirement into 2010 etc..

The issuance of the convert was important, because they had convenants
from the June 2007 restricting their ability to incur further debts.
I am not going to bother analyzing things, so I will just assume that
the June 2007 debt holders are appeased or the April 2008 guys are
subordinated.  Either way, it is a positive sign that there were
people willing to go into their pockets to fund this enterprise (or
boondoggle depending on your perspective).

The ultimate conclusion is that the 10-Q provides three messages.
First, the market (implied by the price action) is impatient and the
fast money is gone.  This filing implies nothing is happening in the
immediate future (i.e. 2008).  Second, these guys can get money if
they need it for now, at the expense of diluting shareholders.
Honestly, I don't care because a $0.25 stock is better than zero;
Third, these jokers should find a way to get to cash flow neutrality
ASAP.  Bear in mind, $8.5-11M in 2008 is nothing....they need to be
$15M-20M.

I am not trying to be a jerk.  Bear in mind that they are starting
down serious financial issues, the clock is ticking, and we are in a
credit crunch and possibly a recession.  Febreze et al. are living in
a bubble out in SoMa....so he can take his CNBC debacle and Web 2.0
nonsense and go whip the troops.