Sunday, September 28, 2008

September Update for DDE

Hi all,
I know it has been a while since my last update, so I wanted to provide some details about how business is going for DDE in September. First, the numbers, so far for September:

DDE Financial Summary, Sept 28, 2008, month to date
Revenues: 2,666,189L
Expenses: 2,711,848L
Profit: (45,659)

Cash: 1,078,599
Sims held, regular: 17
Occupancy, regular: 82%
Sims held, Openspace: 34
Occupancy, Openspace: 92%
Mainland tier level: 2 sims

Short Term Obligations (next month's tier): 2,268,200L
Long Term Debt: 0

I am confident that by month's end, revenues will have exceeded expenses by a slim margin, but DDE remains essentially in a break-even position for the month of September. I am in the process of divesting myself of two sims that have not proven profitable over the last few months, and will not be expanding Openspace sims any longer, without a significant advance rent payment.

It is unlikely that I will be able to provide a dividend for the month of September, as I have not yet been able to save enough ongoing cash to cover a full month's tier. I am hopeful that with a new, slightly smaller DDE, occupancy will rise and I will be able to provide a dividend again in October. I will wait until month end before making a final decision.

As i have discussed a number of times, I am likely going to relist on the International Stock Exchange in the near future, pending a vote by the members of that exchange, in order to allow shareholders to have flexibility to buy/sell shares in the new reality of the land market in Second Life. At this point, I do not foresee having the ability to do significant buybacks of shares in the next few months, since business has been so lackluster.

Please feel free to contact me any time with your questions, comments, or concerns.