The following conference call notes for Capstone (CPST) is provided courtesy of StreetInsider.com

• Growth in backlog exceeded internal forecasts
• In order to meet increased demand, may need to raise funds
• May not be able to utilize a line of credit due to failure to meet financial covenant relating to quarterly loss
• Experienced minor reduction in product backlog which company believes is impressive in this environment
• Increase in manufacturing costs related to product launches of C200 and C1000 systems along with decrease of C60 sales
• Company continues to reduce expenses and described 2010 as a year of further cost reduction and positive cash flow
• Not experiencing significant order cancellations
• C2000 and C1000 products continuing to gain market share