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8K out regarding new Accounting Firm
Yep, not ever on OUR time, but at least they do what they say. Now, give us a PR with the current share structure, and this stock will blow wide open. The shorts will be going crazy, but more than that, the Brokerage Firms will totally panic.
I will bet it is much less than that. Hold on everyone, this is going to be fun.
It is 1.85 Billion, which is One thousand eight hundred and fifty Million. I put it that way to emphasize just how big that number is.
Do you guys realize they just eliminated 1,850 Million Shares? That is absolutely a HUGE number. Shorts, you are in DEEP DOO-DOO
OK Steve Moskowitz, now "pull that trigger"!!!!!
I just confirmed it as well:
Routing your chat request to a Corporations Information Center Representative . You are person 2 of 2 waiting to be served. Important: Please do not provide sensitive information (such as social security numbers, etc.) while chatting.
You are now chatting with 'Kim' with the Delaware Division of Corporations Information Center.
Kim: Hello, Please hold as I review your question.
Kim: 900,000,000 common 25,000,000 class b 40,000,000 pfd at .001 par value
Bob: Kim can you tell me the date that was last changed.
Kim: 8-21-09
That's a good post Mags and very accurate. The shorts will not hesitate to do whatever it takes to prevent a squeeze. Now, the difference between SPNG and say Overstock or AIG who were both hurt badly by naked shorts, is that we will have a plan that includes an accounting of legit shares, ie. divy, TO, move to nasdaq, etc. The other companies, to my knowledge, di not.
Also, keep in mind that while the shorts themselves will pull no punches, ultimately it will be their brokerage firms that will require either huge margin calls or a cover. If the shorts refuse to cover, then their broker will liquidate all of their other holdings and pay what is needed to cover. If they don't have enough funds to cover, then the brokers will have to pony up. Getting enough funds to pay all of us big money for our shares should not be a problem. It could however, get very dirty.
Good post Digs and you are right on. We'll not know what we will do until the time comes and those numbers are sitting on our screen. Our heads will be screaming SELL SELL, but our common sense will be saying HOLD IT, HOLD it.......
It will be fun, but also nerve wracking.
Bob, that is a very good analogy and one that everyone should be able to understand. Good job. Only thing to clarify is that the bannanas are available, from us. We hold them and they want them. Therefore, the price they must pay to get them is up to us. Therein lies the beauty of a squeeze. Again, very good post.
Each paid $9, but that included the $2 for the bellhop. So 3 x $9 = $27, less $2 for the bellhop = $25
I just think that the company has worked very hard at getting the O/S down to a very low level (we'll soon see) and a stock divy would take it right back up. The objective has been to get share price at a nasdaq acceptable level, so the lower the O/S, the more each share is worth just based on last years earnings of $10-12 million. A cash divy on the other hand would be perfect. So my disagreement is just a matter of what kind of dividend. Our thoughts are on the same page.
Stox, good post as always. I don't agree with the stock dividend, nor any kind of reverse split, but everything else seems like a "Right On". One thing the Company (SM) knows is that he cannot continue to build the Company the way he has up til now and have any credibility if the stock price is .13-.14 per share. People build companies to make money and to satisfy personal goals. SM has a goal of going to nasdaq and eventually creating a full blown profitable and successful major company, and all the respect that goes with it. He does not want to be at a cocktail party telling about his company and then tell people it sells for .13 per share. That would be embarassing and not what he forsees. He will do the right thing and get us to nasdaq and agreeing with you, it will be in the very near future. The ball will start rolling before the 10K, in my opinion. Thanks for your post.
Sleeping? What's that?
How about a giant slide that ends up with a giant sponge at the bottom.
I am dead serious, I saw it, now will have to remember where. Hope it wasn't from an e-mail on the private board, otherwise They will be upset that I even brought it up. But he did say it. He even mentioned that the new Auditors were on top of things and it was good that there was the weekend at the end of the month which gave him two extra days before the last day of the month.
I hope it will happen before then, so Happy Birthday.
I can't vouch for the squeeze, but the cover has to happen, and more likely than not if the cover happens the squeeze will too. Once the shorts start to cover, they will all try to buy up shares cheaper than the next short. That's what causes the squeeze, all of them stabbing each other in the back. If one group starts buying a bunch of air shares, then the others jump in and try to buy cheaper than the others.
No chance, at least in my opinion.
Steve M indicated the other day that it would come out on the 31st (Monday). Two weeks from today.
Yes, you have the scenario correct. If the short is unable to buy the shares back due to lack of money, the first thing is that the Brokerage would liquidate any of his other assets with that brokerage and cover the short. If he has no other assets, then the brokerage is on the hook for buying your shares. The Market Maker has some financial responsibility in that mix too.
As far a a stock dividend, usually the short will cover before the ex-date of the dividend so they will not have to cover that stock dividend. But if they don't then they would be responsible for the stock dividend and the cover of the old shares and the new shares.
What you could do is if the squeeze starts and the shorts cover by buying your shares at say $10 per share, then they drop the bid price down to say $1 trying to scare those who haven't sold yet into thinking that the squeeze is over and chase the price down, you could use some of your profits from the $10 sale to buy back shares at the $1 level and ride it up again. The shorts will most likely play that se saw game where they buy up to a certain price and then drop the price to snare those who haven't yet sold at a lower price. Then when they get all they can at that low price, they will have to raise their bid again to go back up and buy out those who were holding strong at higher prices. Hope that makes sense.
I'll be right there with you and I am excited about what lies ahead in the next few days.
I hear you, and many of us have been holding for over a year. It is grueling.
You are more right than you may know Spino. This will be quite an event.
I would not want to be in their shoes, course after it is over, they will not have any shoes. You're right Camper.
Yes, and No. You get the price you hold for from the shorts and when the shorts are done buying all the air shares, then the stock will most likely settle down to a fair and marketable price based on fundamentals. The legit shares will not neccesarily be the same price you got. But remember that the Company also owns a lot of air shares so they will sell to the shorts as well and when all is said and done, they will have a lot of cash in the Company coffers when they move to nasdaq.
That's not quite true. The brokerage is obligated to make you whole. If we own phantom or air shares, when a forced covering happens, the broker will either force the short to cover with a legit share (which he will not be able to find), or buy our shares from us. Once he buys them from us, he can mark that off his IOU with the brokerage firm and he is cool. We will have the money he paid us for our stock, but we will no longer have any ownership in Spongetech. Once the shorts buy up all the air shares, they are off the hook, and all of us are rich. The only shares left are the legit shares that were the Company's Issued and Outstanding.
They end up getting bought out by the shorts at the price you ask. Pretty cool, huh?
It follows where the stock has been, and under normal conditions can sometimes predict where it is going. But when you have a stock that is manipulated, no chart can forsee the level of manipulation or the direction it will take. Charts will be good for this stock when it goes to nasdaq, but here, it is hopeless, just like getting great PR's is not doing for the stock what it should.
Hate to be a party pooper, but in my opinion, there is no way to judge what this stock will do based on charts. It has a life of its own based on manipulation, and that can't be charted. When management decides to pull the trigger on its plan, then, and only then will we see what this stock is capable of doing. I am looking forward to that moment. No offense to any chartist, normally they serve a great service.
$11 mm in sales as of July 16, and $13.5 mm in sales as of August 17. Good increase.
The brokerage firms will be the ones to force the shorts to cover. When they see the stock go up they will either demand a margin call or a cover. If the shorts don't do either, the brokerage firms will start liquidating the shorts' other assets invested with them . Remember that the brokerages only allowed them to short most likely because they are big accounts and they didn't want to risk losing them. Also, the statistics are on the side of the shorts, most companies end up going under.
Looks like an old Pr, don't know why they put it up again today.
News from Scottrade today:
SpongeTech Delivery Systems Bolsters Portfolio
Sunday 08/16/2009 10:27 AM ET - Close-up Media
Related CompaniesSymbol Last %Chg
SPNG 0.1435 -3.04%
As of 3:59 PM ET 8/14/09
SpongeTech Delivery Systems announced that the company has expanded its portfolio of products to include over 40 additional products with the Company's acquisition of Dicon Technologies on July 9.
Dicon's product line currently focuses within the cosmetic, footwear, and medical markets.
Dicon's cosmetic product line utilizes a patented, latex-free hydrophilic foam material in a variety of sizes and shapes for Dicon's Just For You line as well as several private label brands. Dicon has over 15 products that include applicators, cleansing sponges, buffs, puffs, and wedges for various skin care and cosmetic applications.
Dicon is also an original equipment manufacturer of footwear components and retail replacement insoles called DRYZ IntelliTemp. This temperature regulating composite inhibits the growth of odor-causing bacteria and can be found in various footwear brand names including Born, Matterhorn, Carolina, Corcoran, Bostonian, Timberland and Puma.
The hydrophilic foam technology is also ideally suited for use as medical bandages, medical wraps, and as liner for casts and braces. This technology is used in Andover Medical 's CoFlex AFD Absorbent Foam Dressing. This product is applied to both human and animal care markets. Dicon is currently working with key players in the advance wound care market and making great strides in this business segment.
Dicon established channels of distribution in the U.S., including traditional food, drug and mass market stores such as CVS, Walgreens, Kmart, Safeway, Publix, Big Lots and Wal-Mart as well as direct sales to commercial clients; all of which SpongeTech intends to immediately utilize. In addition to the U.S. distribution, Dicon currently has distribution in Canada and Asia.
"The expansion of the Company's product portfolio will certainly enhance the bottom line and as we look to combine both Dicon's and SpongeTech's distribution channels, we expect to aggressively expand our presence into over 100,000 retail locations by the end of the year," said SpongeTech's COO, Steven Moskowitz. "Dicon's products provide us the ability to tap into markets SpongeTech has yet to enter and together we have the ability to develop a broad range of product lines that we will bring to the marketplace over the next several years."
Dicon's CEO, Wayne Celia noted, "Our products have been known to be the 'hands down' choice among many end users within the cosmetic, footwear, and medical markets and we will continue to create products that are not only technologically advanced but provide the end user benefits unforeseen in previous products in the marketplace."
((Comments on this story may be sent to newsdesk@closeupmedia.com))
I can verify that the lady you mention is NOT Dark Lady. Just FYI.
I always do, thanks.
I like Doc's explanation better. It makes sense.