Note where it says “Although this customer’s contract has expired we continue to provide services to it on a month to month basis. It has requested proposals from competing vendors, to which we have also submitted our proposal for a contract renewal” in the FORM 10-Q for the quarterly period ended June 30, 2012 filed recently by Broadcast International, Inc [1].
We assume that this is the Bank of America contract. Mind you, as we said back in September 2009 [2] we were never sure of the exact logic of awarding a multi-million dollar contract to a company that has been functionally bankrupt since September 2008 (liabilities exceeding assets) but there you go!
If you can be bothered to read through the rest of the FORM 10-Q you will see that Broadcast International only stays in business due to the banking contract, we quote “Sales revenues from our largest customer accounted for approximately 86% of total revenues for the six months ended June 30, 2012 and approximately 91% for the six months ended June 30, 2011”.
In one word, WHOOPS!