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Heathrow already has done enough to discredit themselves, IMO.
Great entertainment value, but not exactly the poster child for business success and paying obligations.
And convertables, if/when converted, do not come close to the authorized of 3B. - seventeneleven
as of last report....but they may already be close by now.
This thing could drop another 80% soon. If they do financials instead of press releases it could drop really fast, IMO.
Pay attention to the conversion ratio on those special classes of shares. Wow!
and the conversion ratio on all those special classes of shares? Oh my! No wonder the authorized shares had to go up so fast.
I'm not sure HRNF likes people bringing up these things, but they are a public company. There are rules those companies agree to follow. Simply adding a disclaimer in the LAST sentence of their PR's doesn't cut it for me. It would be one thing to have 1 or two mistakes with updating investors, but I have seen numerous ones that are pretty material....that they should explain, IMO.
I hope Panano's next telephone interview gets his response to things like how many warrants were issued (potential dilution) and why the Florida judgments are not considered as liabilities in their financials.
What do you think about this?
Re: Proof Please
My past messages explain how HRNF plans to issue shares to management and insiders. This is part of their share restructuring. That is almost worse than a reverse split, because they will be dilutive. Since that plan was announced, they also changed their position to indicating potential dilutive equity financing, which was a complete about-face from their "no further dilution needed" claims.
Read the press releases
Simply reading their past and recent press releases and comparing the fluff to what actually happened will bring a clearer understanding of what the CEO has/is doing to shareholders for years. This is my opinion. Only you can decide if you want to make an effort to read and compare. DD is not always important when speculating, but I find it helps me determine which companies have a history that is repeating itself. I avoid investing in those, no matter how much I enjoy how they try to peddle their shares by the billions.
The HRNF short, if there was any, isn’t really a short it is the execution of a long sale by a market maker.
Bi-monthly reports show there is only 1 share short, as there has been for a long, long time.
There was one report that showed around $25-worth of HRNF shares short. This was so miniscule that most wouldn't even give it a second thought.
A pattern of questionable things they have put out and done during the 2007, 2008, and 2009 reverse splits and failed buyback plans makes me question anything new. Since December 2010, quite a lot more has come out worth questioning, IMO.
The massive issuance of convertible and additional classes of shares forced them to raise the share authorization.
The common shares could soon balloon to close to the increased authorized shares.
This potential dilution remained hidden to me, until I looked at the massive share conversion potential of the other classes of shares.
HRNF plans to issue tons more shares
to management and insiders
That is why they need 15 billion authorized.
HRNF owes their CEO more than the current HRNF market cap is right now, in just the loan he made to the company.
That doesn't include the bonuses he authorized for himself and deferred salary.
The A/S is 15 billion
They can't even tell the transfer agent the right info
Delaware, their state of incorporation says 15 billion.
HRNF now discloses they have 15 billion authorized.
Could Calvi (former Heathrow owner) be on the board or an insider now? It might show on the Delaware Corporate filing.
He (George)was the head of the Upwon shares for WGL golf membership deal that turned out to be a mostly shares for cash deal and who ran Heathrow before Pagnano "acquired" it. I always wondered why late in that game they were still doing the Upwon (Calvi) membership deal, but reportedly not getting requests for any events for those members. Wow, wasn't that around the time of the Gendarme billions of WEHI (now HRNF) shares? Oh my!
Didn't think of it that way.....but
Product labels indicate 12 individual pieces in that (blister pack) package, and in the US they are required to include that on the packaging for retail gum sales.
That's also what the chinese company that makes the gum for private label sells-12 pieces in a blister pack.
Big company? OK
Like other co's with "shelf" space, it can be bought for the right price. Co's pay for product placement all the time. A "contract" announced does not necessarily mean the chain bought product.
That doesn't mean it will sell, as I've learned from all their other failed trials.
Yes, the GNC site indicates for 12 pieces of gum. That's what the GNC packaging shows on the add. Too expensive for me. You can buy a liquid in most any store for $7-$10, and it hasn't been processed nearly as much as in a liquid.
The latter part of your message is something talked about since before the 2007 reverse split, and the 2008, and the 2009 R/S.
A pattern of questionable things they have put out and done during that time makes me question anything new. Since December 2010, quite a lot more has come out worth questioning, IMO.
It would be nice to see more of those questionable things get attention on the IBOX. Right now, it seems to not have enough.
CEO probably hopes for a reverse split, too.
Seems he hasn't been willing to accept many shares for the money HRNF owes to him for loans, although he got paid something for a small part in 2010.
If I was CEO and knew a reverse split would be needed, I wouldn't take shares for payment, either.......just wait 'till after the next reverse split. It worked for him during the many previous reverse splits. He didn't personally lose money on the loan $'s owed him during those R/S's. Shareholders that trusted him lost almost every penny invested with HRNF, after each of multiple reverse splits.
My trust level is even lower than it was with each of his other business models.
Correct, there are other consequences for those in posession and that get caught spreading the material non-public info.
They don't have to prove intent, only the conspiracy to disseminate. It often takes quite a while to build the case,as we saw with the SEC's action against Gendarme and their sale of billions of HRNF-issued (for cash) unregistered shares.
It looks like they knew about that company even before their latest dumping of HRNF shares. If the SEC was looking to protect investors, I would have thought they would have stopped Gendarme even before they dumped the HRNF shares. Maybe they were building a case against possible co-conspirators or even one or more of the "victim" co's themselves?
Now that Gendarme was named in the SEC actions, they are likely trying negotiate with them to get more info. I would hope that HRNF is cooperating fully with the SEC.
No one negotiates a deal for 6 billion shares-worth of warrants for huge cash payments to the company without speaking to the CEO/only board member, IMO.
Please keep us posted on what you find out about HRNF not including those Florida judgment lien liabilities in their financials, after Pags signed-off on them as conforming to generally-accepted accounting rules (unaudited does not matter).
Also keep us posted on any possible additional material non-public info you obtain and/or post after being fed such info from HRNF. Info, like that in the sticky note, is generating quite a bit of interest, from what I've learned.
Reverse split soon?
I'm not sure if HRNF can do a 1:500 reverse split while the DTCC has such drastic actions taken against HRNF.
They could try, though.
hadesdog - Heathrow already has a lot of big problems, including their 2Q 2010 financials, which failed to list the sunbiz.org judgment lien liabilities.....hundreds of thousands of dollars Pagnano neglected to include in financials. He signed-off on those financials. Interesting response to my complaints, which I won't post here.
Will be even more interesting as the Gendarme SEC action unfolds. HRNF claims it did nothing wrong, but.......follow the WEHI (Now HRNF) billions and billions of shares given out for cash given directly to Pagnano's company.
Remember that college kid that posted about his dad's contact from Mikie? Stay tuned. Pagnano is strangely silent these days....hmmmmm
Nope. Not even coming close to significant. Less shares than some of the smallest trades executed.
Not even worth mentioning amid the bloated share structure and 15 billion authorized shares oh Heathrow.
$25 or $50 worth of HRNF shares? Overlooked? That isn't even a drop in the 15 billion authorized HRNF share (per Delaware and HRNF press release) bucket.
$25 or $50 worth of HRNF shares? That is significant? In what way?
If there was $25 worth of HRNF shares FTD short, then it must have cleared up almost immediately after the first bi-monthly reporting date.
Marketing 101, seven. I agree it is not complete info on GNC. Just commenting how one detail like that, not corrected in time, could ruin a customer's first exposure to the expensive gum. And Pagnano had the opportunity to "manage" it. It appears that part of the marketing somewhat failed. Of course the blame can be placed elsewhere, as I'm guessing would be the company response.
Sticky or I-box...one of the two, please.
Simply asking for relevant current info like that about Heathrow to be posted there so it doesn't have to be repeated numerous times in response to daily short number discussions.
Then put the info from Finra and the message in the IBOX, please.
This directly helps people understand that daily HRNF short numbers may not really be shorts....but retail sellers ....and it is with info from FINRA itself....and a link to FINRA answer.
Great. Thanks for the info. Seems the failed to not provide that information and ask to see what the ad looked like before it was placed there.
Did the CEO mention how much it might cost HRNF to place such an ad on GNC?
taking away shares and then adding them again.-Isitreal
I tend to agree with you last sentence. When I read the press releases a few times, I see wording just like their last buyback "board-authorized" share restructuring plan before the previous reverse splits.
In their recent release, they indicated shares would be going to management and insiders? Hmmmmm.....and equity financing again? Dilution once again?
Heck, the CEO is owed more than the whole market cap. If he gets shares for his huge loans, deferred salary, bonus plan, etc.....
Wow, that's almost like a reverse split
Chill may not be lifted 'till 2012 or later.
HRNF had the same chill imposed during much of 2010, too. Just ask the CEO. He even PR'd about it.
Selling for how long? Could simply be a small contract for a trial. HRNF may even be paying GNC to try to peddle the gum.
At those high prices - almost $36 for 12 pieces of gum -I sure wouldn't buy it.
HRNF has 15 billion shares authorized.
They obviously need that authorization in case warrant-holders convert to shares of HRNF.
HRNF is known for massive dilution at times they are claiming buyback, etc.
Gum is a terrible way to release the Acai. Doesn't hold much to begin with.
It is not obvious. website shows 12 pieces of gum for almost $36.
At least HRNF now has less incorrect information on their website.
They can also continue diluting, like they are know best for.
360,000 hrnf shares for 1 pack of gum?
$3 per each tiny piece of gum?
doesn't look good
No, but is is online at GNC.
Gonna be pretty difficult to sell any gum at those prices....simply ridiculous.
The daily short interest is meaningless...
Good info to explain problems interpreting Finra's daily short interest for HRNF. That is why I keep an eye on the bi-monthly reports on short interest................
those daily numbers mean almost nothing. Here’s why.
It is theoretically possible to have 100% legitimate retail sells show up as 100% shorts in the daily finra numbers...
Consider someone selling shares through their broker. There are two legs to the transaction, the MM selling the shares into the market and the MM taking ownership of the shares from the seller’s broker. There is also a possible third case in which the MM just buys the shares from the broker to complete the sale and holds them (as MM's can end up with both short or long positions in a stock in an effort to make a market). In this sell case, if the leg of the sell transaction from MM to the market is counted, the sell will (somewhat surprisingly) appear as a short in the numbers if the MM sells the shares to the market first before taking ownership of the shares from the broker (as the MM may sell short to the market first knowing that he’ll immediately get shares to cover from the seller’s broker). If the buy from the broker to MM leg (or the buy to “hold” by the MM) is counted, the sale will not appear as short. Only one leg of the transaction will appear in the daily numbers to not confuse the volume numbers.
Buy transactions are equally confusing as they also have two legs. The leg from the market to MM and the leg from MM to broker. If the leg from market to MM is counted, the buy not will show up as short (as the MM bought shares). If the leg from MM to broker is counted, it will show up as short (as the MM sold shares to the broker). There is also a third case in which the MM sells his own inventory to complete the buy (which will likely not show up as short) and a fourth case in which the MM sells shares it doesn't have (naked shorts) to complete the sale. This naked shorting is legally allowed so that the MM’s can make a market.
In general, the finra numbers are supposed to tally only the "consolidated tape" transactions, that is the transaction legs between the MM and the market (not the legs between MM and brokers--called media transactions). This has the effect of often having a large number of legit sells (possibly even all of them) show up as shorts in the counts. If this was confusing, that’s the point. Exactly what a short in the daily count means depends on a variety of factors including exactly when and in what order a MM completes the two legs of a buy or sell transaction. High short numbers might very well indicate a high number of legitimate retail sales.
May want to tell the CEO that failure to list liabilities like those on financials, when you know you owe them, can be pretty serious.
If HRNF fails to list those liabilities on their already-past-due filings, the SEC may be very interested in hearing about it.
hadesdog - Pagnano claimed Florida judgments were not valid?
He had better consider them valid, since anyone doing business in Florida or having a business license is subject to those valid judgment liens.
There are hundreds of thousands of dollars in judgments that have now been certified as Heathrow Natural being the debtor. Interest is accruing,too.
If HRNF had real assets, the plaintiff could have the sheriff sieze those assets to pay the debt.
NO the PPS is far too high
The massive issuance of convertible and additional classes of shares forced them to raise the share authorization.
The common shares could soon balloon to close to the increased authorized shares.
This potential dilution remained hidden to me, until I looked at the massive share conversion potential of the other classes of shares.