Let me start by saying I believe in Vringo's (VRNG) Intellectual Property and its ability to reach eventual monetization. However Management has not demonstrated the fiscal conservatism necessary in my opinion to maintain this enterprise for the long run.
Vringo continues on a path of excessive leases, expenses, salaries and consulting arrangements all at the expense of the stockholder. Management has been made aware of my groups concern over this matter but the recent changes made at Vringo fail to change the overall direction of the fiscal attitudes that have dominated this company.
While we value the IP of Vringo, there are far to many PAE's (Patent Assertion Entities) such as Worlds, Inc.(OTCQB:WDDD) that demonstrate strategies of capital conservatism in the litigious world of patent assertion.
For this reason my group cannot continue to remain investors. As always should management make timely changes to demonstrate a wiser financial strategy we will reconsider the investment.
Disclosure: The author is long WDDD, MSFT, DSS.