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please demonstrate your understanding of pro-forma analysis?
This obviously would not be in any currently filed 10-Q/Ks as the debt financing occured LAST quarter. Anyone with a pinksheet company being investigated by the SEC and currently past even their NT-10Q deadline please raise their hand (this is your cue Danielle).
You're going to debate with me that they currently have debt on the books????
>>No matter that it is a company basically debt free.
Just to clarify for all. The company is not debt free it took on debt holders in the last financing. There is no ‘basically’ about it, the company either has debt or it does not, and it clearly does have it.
>>could you list all of Globetels's "scams" as you put it...?
I could but right now that would take me hours of rooting through all their crap PRs and actual results, all the claims of division profitability by 'xx/xx/xxxx' date (none of which were ever achieved), all the shady sales of assets, promised deals with international groups which amounted to nothing.
One day i'll write it all up and mail you a nice bound volume so you can read it as you ponder what happened to your retirement. But right now I think there is plenty of evidence on this board and the Yahoo board to satisfy anything you or others want to know about GTEM's scams. A lot of that has been posted by me so you can do a simple search under my username. It seems pumpers have very bad memories as you guys all keep asking the same questions over and over which keep getting answered fully.
How is it not riding on this attempt? The stock goes up 50% on announcement of this test and you think the market is not betting on the strat? Exactly what suddenly made the GTEM story so attractive then? Their undervalued assets? Oops 'sold' to Gotham. International wireless operations? Knock, knock anyone home in Germany? Uli? What bankruptcy?
You better watch out below if management pulls another 'no followup pr about the test date we announced earlier'.
My feeling is that they are trying to get a financing done.
>>there's no telling how high up we could go!
How quickly some people forget history. Especially when so many of the same players responsible for all the mistakes/scams of the past still lurk around.
I am not short this company and I never have been.
The fact remains that this is an empty PR just like in the past. Just another promised test date. Even if it does occur it changes nothing about the dire situation of the company.
The Strat is at the LEAST, two years from being profitable and able to sustain GTEM (this is of course assuming that everything goes right over the next two years, a full model that comes anywhere near their target specifications will take at least another year, finding a user base and partner? I'll let you do the math). GTEM, however, is about 2 quarters away from bankruptcy. Until they announce something with actual numbers, nothing changes that.
Why don't we wait and take a look at the 10-Q?
lol, same old story. Management releases a speculative (please note once again the use of the word 'anticipated' strat test) and everyone piles in. It's too bad management still hasn't learned to shut up until they've atually done something instead of blabbing about it BEFORE they do it.
This stock is going to the moon, buy in now before you miss the $$$ train leaves the station!!
It's also quite interesting that this was done before the LATE 10-Q filing which is sure to be horrendous.
Anyone have anymore info as to when the 10-Q is going to be filed?
I look forward to going through it and applying my new pro-forma analysis algorithm.
lol....this should be good. Please elaborate.
Perhaps you would like to take a stab at it then? Tell me how Globetel is going to collect any money for the sale of the MagicMoney division if Gotham Financial, LLC just turns around and sells the hard assets (remember that nice $$$ processing switch?) to another buyer.
Please directly reference the sale agreement posted on the SEC website and show me the sentence/paragraph/footnote/whatever that proves me wrong.
I am waiting. Here's the agreement.
http://www.sec.gov/Archives/edgar/data/919742/000114420406046653/v057225_ex10-1.txt
I'm assuming that I will get no answer, or a "It's perfectly clear why GTEM sold MagicMoney, your basher agenda is becoming clear." Sad that when you decide to do either of those it will not change the fact that management just took millions in assets out of the company right out from under your nose.
How exactly do you know this? Or is this another one of those 'facts'? A Bleckmanism perhaps? Or did you just make it up?
You do realize that auto-translators are basically crap when it comes to legal/technical language?
Considering that Jim speaks German and you do not perhaps you should listen to him when it comes to translation?
Thanks for the info Jim.
Was there a settlement of the BK posted? How can you tell that a deal was worked out and it wasn't just a 'false filing' being removed from the records?
lol. It is almost certain that they are out of cash.
Which do you think is more likely? The company burned through the $1.5mm or so in cash they got back in Sept or the company suddenly turned profitable?
Seems it's not my thinking that is off...
This company does not have the luxury of deciding 'when' financing would be better from an accounting standpoint. They need cash as soon as they can get it if they are to survive until the next quarter. Given their historical burn rate, even getting rid of staff and 'high cash burn' divisions (MagicMoney....which was not a big cash burner), they should be out of cash by end of January...if not already.
No I am assuming that the division does have value and that insiders moved it away to sell it without giving proceeds to the company and keeping the cash all for themselves. I assume that Gotham is doing the exact opposite of what you said.
>>The 'penalty' is pretty obvious, Trade. Any transaction they decide to execute would end-up turning into a loss for them, regardless how you wish to spin. Thus - in that sense - it is an incentive and less costly for them to give it their best.
Please explain to me EXACTLY what the penalty is since it is so obvious. I must be a little slow today. How exactly would selling something that you bought for $0 turn into a loss unless you were truly an idiot?
Yes and I already disproved him in a reply to that post. Read the whole thread. Perhaps you will have better luck producing a link to the paragraph which states that there are penalties for Gotham if they do sell the division? I am still waiting for that answer.
============================
============================
Posted by: tradeforyourlife
In reply to: crashtestsuperstar who wrote msg# 52189 Date: 11/16/2006 2:22:53 PM
Post #
That has absolutely nothing to do with not selling the MagicMoney division to another company. Perhaps you should brush up on your legalese? Your paragraph (e) is stating that for any payments to be made to Globetel:
"(e) During the term of this Agreement, and for any period during which payment is to be under this section 2.2 "
The payment amount will be checked by the auditing procedures as stated in the same paragraph...IF THERE ARE PAYMENTS TO BE MADE. Now please go back to the beginning of Section 2.2 which dictates the terms of payment:
(a) The Purchase Price shall be paid as follows over the three (3)years from the date of Closing. The Purchase Price shall only be payable as and when paid transactions described under subparagraph (a) hereof occur. The actual amount of Purchase Price that shall be due and payable from the Buyer shall be based solely on the number of transactions of the type described below in (a)(i)and (a)(ii) that occur. If no transactions of these types occur during the three year period, with extensions as provided in (a) (iii) below, from the date hereof, then no Purchase Price shall be paid from the Buyer to the Seller.
IF NO TRANSACTIONS OCCUR NO PAYMENT IS MADE. There are no further provisions for payment upon change of control or anything else.
Yes Frank, it is an assumption on my part. I do not have a piece of paper stating "Globetel is cheating investors out of the MagicMoney assets by moving them to an affiliated non-consolidated LLC." Signed -Kostro or whoever the CEO is. Sometimes you have to draw conclusions without little pieces of paper like that...
How much more shadiness needs to occur before you will 'assume' with me that stuff that hurts investors is going on over in Pembroke Pines?
I'm pretty sure 'they' (it's pretty clear who Gotham Financial is at this point) tried to register a Gotham 'division' in florida for tax purposes of moving the assets.
Notice that the registration was rejected.
gdb81, there is an even worse scenario if Gotham sells the division. See my post below:
==========================
Posted by: tradeforyourlife
In reply to: None Date:11/16/2006 10:51:25 AM
Post #of 52127
Can anyone explain to me why GTEM just sold off some of the
only 'hard'/recoverable assets of the company to a party that won't even have to pay anything to GTEM if they just choose to sell it another buyer?
I see nothing in the agreement (please prove me wrong by referring to the agreement posted on EDGAR below) that specifies that Gotham Financial MUST operate MagicMoney. Nor is there language which states that transaction based puchase price agreement is extendable to other parties which may purchase the MagicMoney assets. As the asset purchase agreement EXPLICITLY states that the Purchase Price
is based ONLY on transactions, as long as Gotham Financial LLC
doesn't operate MagicMoney no money has to go to Globetel.
This means that Gotham Financial can do whatever they want with the assets (i.e. sell to another company for a nice profit with no cost basis) and Globetel has no recourse.
Here is the most important part IHUBers:
Please prove that I am wrong. Show me the language which states that Gotham can not simply flip MagicMoney. Don't tell me WHY GTEM sold the division (future rev, cash burn, etc.) tell me HOW GTEM is going to get paid if Gotham decides to do this, and also WHY they gave a division away for free if this happens.
"(a) The Purchase Price shall be paid as follows over the three (3)years from the date of Closing. The Purchase Price shall only be payable as and when paid transactions described under subparagraph (a) hereof occur. The actual amount of Purchase Price that shall be due and payable from the Buyer shall be based solely on the number of transactions of the type described below in (a)(i)and (a)(ii) that occur. If no transactions of these types occur during the three year period, with extensions as provided in (a) (iii) below, from the date hereof, then no Purchase Price shall be paid from the Buyer to theSeller."
http://www.sec.gov/Archives/edgar/data/919742/000114420406046653/v057225_ex10-1.txt
Here's another fun, highly convenient coincidence.
Guess who else has a Florida LLC registered with a 'Gotham' theme in the name? Our good old friend Jonathan Leinwand.
http://www.sunbiz.org/scripts/cordet.exe?a1=DETFIL&n1=P06000087646&n2=NAMFWD&n3=0001&...
This is all highly coincidental of course. I assume that Batman-inspired businesses are very popular in Pembroke Pines, specifically at 9050 Pines Blvd.
You need more proof than the fact that the 'buying' party was going to be registered at the same address as the seller? What other point is there in 'selling' something for free to what is obviously a related party?
Do you require prosecutors to spell it all out for you before you will believe anything negative about this company?
More interestingly you should note that this registration was just filed/rejected on 11/30/06. I didn't see that before which implies that the company was created just to house the MagicMoney assets.
Do you need more proof that MagicMoney was sold for nothing just to move it out of the company and away from investors?
Gotham Financial LLC has a failed business registration filing in Florida according to the Division of Corporations.
http://www.sunbiz.org/scripts/cordet.exe?a1=DETFIL&n1=W06000051916&n2=NAMFWD&n3=0000&...
Note the address that it was going to be registered to is the same as Globetel's old address:
http://sec.edgar-online.com/2006/03/31/0001144204-06-013259/Section28.asp
Fun stuff huh? Musical chairs with management and a shell game with the assets. Please spin this one pumpers.
As usual, no numbers, no specifics, just unrelated technical jargon that has nothing to do with how GTEM is going to stay alive for a year.
I wonder what the 'introductory promotion' is? Discount? For Free?
"The Company began offering Internet services on the network in conjunction with an introductory promotion to residential users within the network's cloud,"
>>execs are getting bonuses that when added up collectively exceeded gtem's capital.
Even forget about the bonuses and take a look at the options they got. Sometimes up to 50% discount to market. I believe the ones they were granted in Dec 2005 were even more ridiculous than that. Huff received something like 3mm options @ avg price of $0.675 (note common price of $3.68 at the time of grant).
An instant in the money option grant equivalent to about $10mm? No problem, fire up the cert printer!
Finally someone who understands exactly how deep in the till management's collective hand is. Just one look at the compensation schemes for management salaries, bonuses, options, restricted stock awards is enough to see that management clearly has no shame. Another glance at 144 filings and its clear that they also use common equity as a dumping ground for their shares.
It's too bad people will refuse to believe until the very end, because I have no doubt that even at $0.001/share GTEM's situation 'HAS NEVER LOOKED BETTER'
:)
I think you need to go back and take 'Pro-Forma Analysis 101' again as well as 'Reading 201: Advanced Techniques in Sentence Digestion'. You seem to have missed that GTEM clearly states that they recognize the deposit in Accounts Receivables.
I continue to be amazed at how this can be classified as 'a new team' when all the same old people are around with their hands in the till. Huff, Leinwand, Khoury, Kostro....It's just musical chairs for the cameras.
Jeez. Have a sense of humor.
If I really wanted to be negative about this company i'd just post its financials. The Bleckman slip is just entertaining.
Does anyone else find this slip up by Bleckman hilarious?
"using the calls as a tool to dispel any information."
He certainly is doing a great job of dispelling any credible information about GTEM! lol, think Iraqi information minister.
This is what I don't understand as well. This is probably the most significant development over this past month and everyone seems to ignore it.
If anything you would think it would be a more pressing concern the longer it goes unaddressed (and remains on the website/assigned to an insolvency manager). Doesn't make sense to me either.
Please ask him specifically what the status is of removing the bankruptcy filing in Germany and getting rid of the insolvency manager.
The fact (if it actually is one) that there was no actual bankruptcy does not change the fact that the filing is still up and an insolvency manager was still assigned to the case. This is why I was asking JimProfit if he had heard any new developments.
If there was no bankruptcy you would expect those two things to change wouldn't you? The longer they don't change the more dubious the claim of 'no bankruptcy' becomes.
Whatever happened with the whole bankruptcy thing? Is the bankruptcy filing still on the website? Is that insolvency manager/attorney still in charge?
Hmmm sounds like more of this? Telling different investors different things about upcoming events, and then saying that they misunderstood, and generally muddying up the whole picture about the company.
>>Section 401, which requires every listed company to make available to the public information necessary for informed investing and to take reasonable steps to ensure that all who invest in its securities enjoy equal access to such information;
http://www.sec.gov/Archives/edgar/data/919742/000114331306000383/gte20061117final.htm
Cole, clearly all those people see the DEVASTATING potential of Globetel and want to knock the share price down in the early stages to create a MASSIVE buying opportunity for themselves in this REVOLUTIONARY, PARADIGM-SHIFTING company. They just want to steal cheap shares from the little guy! NO LOSSES UNTIL YOU SELL.
LMAO.
Hmmm I wonder if it could be because they are properly weighting their fund for dollar value exposure to companies since they own basically EVERYTHING in the universe? This would make more sense rather than just running the fund by the number of shares you own huh? Let's see:
On 6/30 Vanguard reported a position of 1,107,869 shares for a value of $1,341,000. Globetel share price was $1.21.
On 9/30 Vanguard reported a position of 1,650,469 shares for a value of $858,000. Globetel share price was $0.5106.
Hmmmm let's see a 58% drop in the share price, and a 48% increase in the shares held. It sounds to me like a fund manager who is balancing a portfolio on a dollar value basis huh Danielle? It even looks like they are less enthusiastic about the story now since they didn't keep the same percentage.
I guess it couldn't be that though, Vanguard must know something about the DEVASTATING future potential of the company and is buying now before HUGE run-up.
>> How many absurd lawsuits are filed every day, just because several people jump on to a lawsuit (several have jumped off as well) does not make it fact.
lol, that's the first time i've heard the AMEX accused of filing false lawsuits. That was almost as good as when one of you guys started questioning whether the SEC was in on the anti-GTEM conspiracy.