Do you or anyone here know from other stocks what the range in the bid/ ask can be after such a large RS? $10.00 post RS pps is much higher than most anticipated imo.....if the range could be huge that may explain why as the pps could drop very quickly down...if anyone has examples it would be appreciated.

As far as uplisting goes who knows.....they 'talked' of AMEX in the October Webinair which requires a minimum pps >$2.00 (lowest pps based on certain other criteria for uplisting) but that also needs audited financials and I would have thought a viable business which is anything but proven to be the case here....I think the fact that uplisting wasn't mentioned in their pr is significant imo.....it would have been another obvious carrot.....They 'talk' about doing an audit.....if they do it would be one of the missing pieces for uplisting.....then they would just need to show they have a real business:)

Not sure why they increased the AS recently to 30 billion and then do an RS of 100,00 to 1....doesn't make sense.....imo. Assume the divi to shareholders of record of Dec 10th will be based on the pre RS share numbers? Thoughts?

At this stage I am just hoping that something comes of this...but resigned also to the possibilty that it may all go down in flames:)

GLTA

Well it's just about anybody's guess how this will play out.....sorry, wish I had some more insight :)

The recent AS increase is a concern....it could be for a future shareholder's divi...it could be to pay bills....or for direct sales of shares by the Company to individuals....could it also be that when the name and cusip change occurs....the naked shorts will be forced to cover by buying real shares....and we can only guess how many of those there are, over and above the legitimate outstanding shares....? It seems to me that an RS is not imminent if they have just increased the AS.....

We await the date of the next conference call for November and the Action Plan for 2009 to be published in December...as well as the AF's.....and an update on projects.....

The bottom line is the company needs to deliver something that confirms there is real value and potential in this company...without that they will not be able to generate an further income from selling shares and no potential to increase the
pps.....the insiders own a lot of shares as well as us...ultimately they stand to gain much more by getting the pps up..than selling at these levels....getting the PPS/
increasing shareholder value will take significant real/ substantiated news on there part....an RS with no support would hurt us and insiders holdings a well..

And I think that is what keeps us longs going ( apart from the fact that we can't sell anyway;)....the hope that they actually are working on a legit business and do pull this off...and for me I'd still rather be holding my ticket in case it happens at some point....whether now, next year of the year after...or maybe never....than not...meanwhile get on with life...cause it's all too short:)

GLTA

ditto:)

GLTA

Thanks for the update Heels......you're a real asset to this board.

GLTA

Noticed that Relm has moved to Suite 307, 1300 North Market Street.....HCPC in Suite 301.....

GLTA

Totally agree heels.....and the move to 1300 Market Street is very significant imo:)

GLTA

Cremel....what they stand to gain, potentially...even if they add no more HCPC shares:

4.2 billion x 0.04 (estimated pps based on current HCPC assets and even 'if' dilution reaches 16 billion OS) = $168 million

....makes you go mmmmm......:)

GLTA

Looking very good folks.....Cremel is the major player as thought by many here, and majority shareholder now by the looks of it of both HCPC and RELM......the 4.2 billion shares owned by Cremel of the '3rd Party' (HCPC...must be imo) was for March 30th, and also confirms the thinking of many longs here that as the OS of HCPC was increased, they were being accumulated by a significant 3rd party....rather than a merger or a buyout, they obviously had a plan by which they (Cremel) could accumulate to their hearts content....this is also why HCPC started posting abridged financials from the 2nd half of last year so Cremel could accumulate without full shareholder disclosure on the HCPC statements......cunning plan imo

Carol Johnson is on the board of Cremel, so she has regained a majority shareholding of her company, HCPC, through a pretty clever manouevre imo and as predicted by many longs here....so I don't take the credit for this idea at all:)

This accumulation has been done on the cheap by them....and I think you'll find that those of us longs who have been buying down here as well have been part of that same plan.......if Cremel has been acumulating heavily, I think we may be glad that we have been doing the same.........even when the end of the world crew were hard at work to dissuade us from that choice,......each to their own:)

That 4.2 billion may well have gone up significantly since 1Q. Add to that the insider ownership.....and a lot of the OS is already tied up. If they know the value of the company going forward, as I am sure they do....they will be holding very tight to those shares. You can then factor in the number of shares owned by all the other shareholders/ longs..........

Last thought, with that major shareholding by Cremel, you can bet your bottom dollar that they will not be playing with any RS ideas unless it is for reaching a higher exchange etc...and the share price can be supported....that to me is our insurance, they have a vested interest and that interest is aligned to ours.......imo

Ok, good luck to all the longs here....this is just beginning.....imo of course:)

GLTA

Great heels....you're a real asset here:)

GLTA

Great update on WallSt.net, OTC Report out, figures looking great for 1Q, audit on the way.....and 2Q Financials out in a week or so...things are really beginning to come together now.......imo of course:)

GLTA

Totally agree again......they have kept the cards very close to their chests, but given out clues along the way......

$682 million in Promissory notes equates exactly to figure of the deals shown on the ICCC website (see link from HCPC website). That, we understand, is for GSR and 1300 Market Street properties.

Regardless of whether HCPC intends to merge with these big money institutions or not, one thing is clear. HCPC has something that big money players are interested in.....so firstly, why would they stop at just $682 million (there must be other properties/ deals to pursue) and secondly, there must be other institutional investors who may/ could follow suit imo.

One thing is clear, with that kind of money backing, it is a major third party affirmation for the Company, should they be looking for deals/ finance from other major financial players...imo.

So the valuations we agree on, may just be the start.......imo.

GLTA

Agree jasontrader. Based on current OS and assets of c.$700 million, valuation is c.$0.07. Even, if they use up all their current AS shares, we are looking at c.$ 0.04. That is just based on assets, and not factoring earnings from use of assets.

My other thoughts are these. According to the financials, 2 shareholders have purchased promissory notes to the value of $682 million. That is major capital injection for HCPC. Who's to say that there is not a lot more cash where that came from? I think that kind of cash can only come from institutional investors and not from individuals.....which again raises the big questions of who is behind HCPC and bank-rolling them.....?

GLTA

Great post limeyone....lots of food for thought....guess the only defense for a pink, is for it to be a real company with real potential and assets.......makes you go mmmmmmm....:)

GLTA

Good points Libra and thanks sonic:)

Well this has been in the works for some while and the auditing makes complete sense with this news of assets...they have named the auditors Gruber and Company LLC......this is the start of something big imo.

This is a previous post I prepared on valuation.....some people scoffed at the time, but the valuation has to take account of assets as well as earnings......I'll try and review this at the weekend, but if you follow my logic, then the math is pretty easy to adjust imo

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=28233347

Final thought for now. The posting of these figures by the company, the naming of the CPA/ Auditors and the carrying out of the audit, ( + the engagement of the company to update websites, suggests to me that things are now in place for this to run.....insiders have their significant holding (and so do hopefully all the longs here).....I think the Company is in a position to drive this forward......no fluff pr's as we have come to expect, but pr's of substance.

This is a major company in the making imo.......it seems that finally have the finance in place now to start it off. That has always been the missing ingredient imo......feet on the ground here, but the signs are good...to say the least...

GLTA

Huge news longs....not much time to post of late but will catch up more at the weekend....:)

GLTA

I think little green men in silver jump suits may have shut them down, but we won't know until I can translate the message they left on my answerphone...

GLTA

Great find Squid.......and great signal for us that the company is moving forward with the plan:)

GLTA

Libra......well that is huge news imo and probably also explains why the Cremel deal with RELM (with regard to Relm REH) has just been confirmed:)

GLTA

Fine post mimurray....nothing needs adding:)

GLTA

Posted this link a while back, but thought I'd repost it for the DD hounds out there. This is from May 2007......found it interesting for the two points I've highlighted in bold below.....firstly, the naming of the LLC mentioned (Arendell North LLC) being similar to those names used by RELM...... and for the last sentence about them (GSR) going public........it could be that Whichard and his company are selling GSR outright, but I also wonder whether the deal involves refinancing and they are still involved somehow.....Whichard's has another family company that is heavily into shopping malls if I remember correctly.....so could be a connection there too imo.

http://triangle.bizjournals.com/triangle/stories/2007/05/28/story12.html

Reno casino buyer scoops up Zebulon land for development

Forget that. But a few eyebrows were raised when the owners of the Grand Sierra Resort and Casino in Reno, Nev., on May 11 were involved in the purchase of 45 acres of pastureland next to the Zebulon water tower on the north side of town.

There are strong local ties in this deal.

Ken Whichard, president of Whichard Real Estate in Raleigh, confirms that his family and investment partners paid almost $6.5 million for the Zebulon property through a partnership called Arendell North LLC.

Whichard's family is majority owner of Grand Sierra Resort Corp., the group that purchased the largest hotel property in Reno in 2006 in addition to making other real estate investments around the country.

Whichard says he has no immediate plans to develop the Zebulon property, and he is working with a land planner to determine the best use of the terrain.

"We will develop it, and we're getting a lot of ideas from people in the area," he says, "but we don't have formal details at this point." Likely, he says, development would include commercial space, including retail, but it could be months before plans are filed with the town. The property is adjacent to 32 acres that Davidson & Jones Residential of Raleigh acquired in June 2006 for a future residential community.

In the meantime, Whichard is focusing most of his attention on the redevelopment of the Reno property, formerly the Reno Hilton, which the group bought from Harrah's Entertainment in June 2006 for about $150 million.

Grand Sierra and its investment partners have spent more than $200 million on the hotel and its renovation, which includes converting nearly half of its 2,000 hotel rooms into hotel-condominiums and an overhaul of its restaurants, convention center and other facilities.

Grand Sierra Resort Corp. is a private company, but Whichard says the company is working to go public late this year or early in 2008.

GLTA

Audited Financials:

http://news.nasdaq.com/aspxcontent/newsstory.aspx?&cpath=20080612%5CACQKNB200806121408KNOBIAS_NEWS____2008061218_415.htm

Interesting to note that RELM is also stating that it will have audited financials prepared for this year.....and quite possibly the previous year(s) as well, but we will have to wait and see on that....see pr above.

GLTA

Some of these RELM deals, at least, will be funded by HCPC selling preferred shares to raise the finance/ capital...we know the HCPC preferred shares can be exchanged for common shares......we know the AS was raised recently to 16 billion.....imo, all of these are connected.......also the recent purchase of Relm REH from the Cremel Group by RELM for preferred shares to the value of $150 million......this is significant to me as it suggests that the first phase of funding may now be in place. RELM wouldn't purchase Relm REH from Cremel unless it had something worthing purchasing it for......if Relm REH had no assets you wouldn't buy it would you?.....there would be no point to the transaction....imo

http://news.nasdaq.com/aspxcontent/newsstory.aspx?&cpath=20080612%5CACQKNB200806121408KNOBIAS_NEWS____2008061218_415.htm

We could be well into the 3Q before things become clearer......by then we should have audited financials. You wouldn't go to the trouble/ expense of audited financials, and even naming the company that is doing them, if you did not have a business developing, worth all that effort, would you? Nothing is for certain, but there is enough going on to make me comfortable with holding, and to avoid getting too involved in the day to day drama here.

GLTA

Ok, well thanks elb too:)

Well spotted Libra....more evidence that things are developing imo:)

GLTA

Some more thoughts:

Extract, Page 15, of 1st Q Financials (RELM):

“2. Purchase Price. The purchase price (the “Purchase Price) for 100% of the outstanding shares will be $150,000,000 paid in Class B convertible preferred stock of the Purchaser. This Purchase Price is based dollar-for-dollar on the internal pro-forma equity valuation of the Company, which was based on the Company’s anticipated closing of two transactions currently under contract.”

Some comments:

- May just be coincidental, but $150,000,000 is exactly the amount that GSR was purchased for in 2005:

“On May 11, 2005 Caesars Entertainment announced an agreement to sell the Reno Hilton to PLANTworldwide DBA Grand Sierra Resort Corp . for $150 million dollars[7]. On June 23, 2005 the sale was completed and the name of the property was changed to The Grand Sierra Resort.”

http://en.wikipedia.org/wiki/Grand_Sierra_Resort

Thoughts?

- Another take on the this $150,000,000 figure is that the Cremel Group (which owned Relm REH) previously owned a part share in either one, or both, of the properties mentioned, namely 1300 Market Street and GSR. These are the only two properties actually mentioned on the RELM Website, GSR is mentioned in the organization box and inferred through the written description of the hotel.

Previously on the RELM website it stated (now in the i-Box)

“If and when RELM secures short-term financing to cover up to 80% of the real estate value, RELM will then be required to secure the equity up to 20%. The short-term financing will come from an Independent third party lender. RELM will enter into long-term notes to receive funds over a 12-month period of time from the inception of the long-term note. The long-term financing and short term financing are expected to provide 100% funding for each of the RELM owned LLCs. The revenue from the LLCs will be used to help purchase and make investments in other real estate projects.”

We also know:

“RELM’s has signed a purchase contract to acquire a 68,000 square foot office building, and signed a letter of intent to acquire a 27-story 1995 room hotel which is conditioned upon financing. Both projects have closed on the first phase of financing totally $682,400,000 using convertible preferred stock of the Lender, which is a commonly controlled company. The second phase is expected to come from an independent third part lender providing up to $175,500,000 in short term financing.’

Now:

20% of $682,400,000 = $136,480,000


Well $150,000,000 (c. 20%) is ‘around’ this figure above.....is there a connection?:

Now remember, “The long-term financing and short term financing are expected to provide 100% funding for each of the RELM owned LLCs. The revenue from the LLCs will be used to help purchase and make investments in other real estate projects.”

And, “The second phase is expected to come from an independent third part lender providing up to $175,500,000 in short term financing.’ This to me the financing to free up the original c.20% downpayment/ deposit + some more for improvements imo……that would enable 100%, through both long and short-term financing as stated above…...and is probably mainly for funding of improvements to GSR imo. See my earlier post on this issue:

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=28029192

The Hotel was purchased for c. $400 million, the rest is for financing improvements imo. Originally on the ICCC website it mentioned the Resort Hotel financing as $400 million. This was the purchase price only imo, when changed to $672 million it included financing for improvements imo:

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=27260372

So my thinking is this:

Cremel (Relm REH) originally needed 20% down/ deposit to purchase the buildings and the loans for financing improvements. That is the equity valuation for which RELM (previously MERL) exchanged $150,000,000 in preferred shares for i.e. the actual company valuation in terms of net worth or book value imo. There must be some deep pockets involved with Cremel imo to come up with this short term funding or alternatively HCPC have assisted in raising this funding? Relm REH is only worth purchasing for $150 million by RELM if it has assets of that value. For it to have assets of that value, it most probably has secured 20% of the property assets/ loan funding in downpayments/ financing from somewhere. The purchase then of the Relm REH by RELM from Cremel enables the company to go public imo, whilst the Directors of Cremel retain shares, both common and preferred in RELM imo

GLTA

Exactly:)

GLTA

Auditing for HCPC is probably a pre-requisite of the 'money' which is being lined up to purchase their preferred shares imo. If they have to go back to 2005, it could be just to provide further info/ clarification to the third party (ies). Sure the audit can help in uplisting plans as well, but we should not forget that there are external influences involved as well imo.

The funding for the big loan was indicated to commence on or before May 30th 2008. A delay to completing the audit (also indicated as occuring end of May) will lead to a delay to funding the loans....the two are inextricably linked imo.

GLTA

Hi SquidB,

Still here and and as you said in the last post, nothing surprises me in the Pinks now:)

So busy with many other things at the moment, ......I monitor daily and read key people's posts and continue to hold and be patient.....some thoughts/ observations:

It would not surprise me if the OS has increased to 10 billion now and the AS has been raised again...many here (including myself) saw a possible alternate theory where increased % (insider/ 3rd party) ownership could be attained this way...read heels posts too, for more info on this.....the thing I find intriguing here is that if they are selling shares (to someone/ some organisation), they are making precious little attempt to raise the PPS through big PR's etc (as often seems to be the case in the Pinks).....to maximise the $$ earning potential. If you were just in the business of selling paper to make money, you'd probably come up with a better strategy for this than they have......I certainly could:) In this respect, I ask myself why they have made so little effort......

We need to wait confirmation as to whether it is 16 billion or not. Being pragmatic, if the business plan does not work it makes no difference, at this point, to me whether the AS in 10 billion or 16 billion........

What really matters to me, at this stage, is who the shares are going too.....the % company ownership.....and will the business plan comes to fruition or not?...if it does we are still golden....there is a lot of potential news to come and from experience, they release it when they are ready, not when we want it.....no pr before the end of May would lead many to say it is the 'end of the world'........it is not imo

So, like many, I'll just wait to see how things unfold....

GLTA

Repost of last PR: No point in HCPC going to the expense and time of carrying out a financial audit, unless they have some real news and developments in the pipeline imo. Regardles of what has happened in the past, the next few weeks should be very telling imo.

http://heritagecapitalcreditcorp.com/PR_Q1_08Financial_Report_Website_R.pdf

Heritage Plans to Release First Quarter Financial Report After Audit

Wilmington, DE – April 17, 2008- Heritage Capital Credit Corporation (OTC: HCPC) announced today that its Disclosure Statement – Quarterly Update for the First Quarter ended March 31, 2008 will be reported after the audit is completed.
Based on conversations with the auditor, Webb and Company, P.A., Certified Public Accountants, they expect to complete the financial audits for 2006 and 2007 and a review of the first quarter 2008 before the end of May 2008.

GLTA

Yep, still here, still loaded....very busy with other things at present.....looks like things are setting themselves up nicely, both technically and fundamentally.

GLTA

Hi lookingforhelp,

Look a little deeper at what heels is saying and don't construe it as negative. I've known him for a while and he talks a lot of sense.....not saying one of you is right or wrong, just that the scenario he paints would actually be very positive for us all.....but it requires an alternate way of thinking......you have to think how the insiders/ 3rd party/ related company/ merger candidate can regain a significant majority ownership of the company? This time last year insiders controlled 80 or 90% of the company. How could they (insiders/ related company/ merger candidiates) get back to that figure again......? Heels offers one possible solution to that.....that's why I say it is good for us longs, as if they control so much, they also stand to gain to such when this is 'let go'........and of course, so do we:)

All the best..and GLTA

http://www.pinksheets.com/otciq/ajax/showFinancialReportById.pdf?id=14103

MERL was previously a shell and went through a recent ticker change to RELM at the time they bought Relm REH from the Cremel Group for c.$150 million in preferred shares. The purchase price valuation of $150 million was based on the anticipated closing of two transactions (set up originally by the Cremel Group/ Relm REH) 'currently under contract'.

This purchase price is subject to revision based on the finalised purchase price when the audited financials for RELM are prepared for the year 2008, which must be filed by the end of April 2009. So it seems, Relm REH was spun-off and via a reverse merger with the MERL shell, became a public company trading, now as RELM imo. The Cremel Group remain in control as a holding company, via the preferred shares and by virtue of their 86% ownership of OS RELM shares imo.

Someone brought $150 million to the Cremel Group table to purchase this real estate in the first place or they obtained a loan/ funding to that value. The connection to Thomas A. Harman is an obvious one. Did he bring a group of investors to the table with capital to purchase the property? Or did they obtain a loan for the commercial property?

The two properties we know about at present are 1300 Market Street and GSR. However, the combined value of these properties/ deals is $682 million (incl. first phase only for Office, see ICCC website link). Are the 'two properties' mentioned different ones, or does the Cremel Group only have a % interest in these deals, to the value of c.$150 million? We heard that the funding (for GSR at least) is coming from more than one source. If, so could there be other companies involved as well?

HCPC has one subsidiary, ICCC. On the ICCC website, they discuss under Transactions in Progress, funding for $672 million for GSR and $10.3 million as the initial funding for the Office building (presumably 1300 market Street?).

http://independentcapitalcreditcorp.com/id2.html

HCPC are selling preferred shares to raise cash for funding of the loans. Whilst HCPC/ ICCC may be raising the total funding for the projects, could it be that the Cremel Group is only one party involved in the ownership of GSR?? Or, that the $150 million is just the first phase of funding for GSR? On the RELM website they state, '......through another wholly owned LLC, has signed a non-binding letter of intent to acquire a 27-story 1995-room hotel." This suggests they are buying it all....


Thoughts?:)

GLTA

DD: The Cremel Group Inc. Offices...just noticed Cash posted something on this before....but here's a bit more:)

First the Cremel Group Address:

http://www.pinksheets.com/otciq/ajax/showFinancialReportById.pdf?id=14103

Check out Page 15:

The Cremel Group Inc.
902 North Market Street
Suite 423
Wilmington DE 19801

Now check out this link (under 'The Residences at Rodney Square'):

Adress is the same. Near to the Hotel Du Pont.

http://www.theresidences.net/rs_contact.php

This is the historic former Delaware Trust Building, built in 1923.

The Cremel Group now owns RELM (Carol Johnson is a director along with Tomas A Harman who is the Executive Vice President....there are probably other Directors too).

There was an earlier connection to this address/ Ed Johnson found by Cash. Seems The Cremel Group is the new holding company for RELM (which was previously trading as MERL until the recent spin-off and ticker change).

GLTA

Offices look fine to me.....can see the name plates for HCPC, ICCC, FLFC and Relm REH............thanks weatherbill

GLTA

Hey limeyone,

You sum things up really well.....in response to your point 2, about the same parties who buy the preferreds, buying up the OS/ Float for less than $1 million...

...."In fact you would have to come up with compelling reasons why they would not do that, & I cannot think of any."...........

well I can't think of any either:)


GLTA

Good post Libra:)

http://investorshub.advfn.com/boards/read_msg.asp?message_id=28781231

The timing is certainly in-synch at present imo. Audit ready in time for hopefully the first phase of funding, at least, by end of May.....anyone putting significant investment into HCPC, through the purchase of convertible preferred shares, would insist on an audit for sure and must see a much 'bigger picture' imo.

The purchase of preferred shares by these investors, with a fixed return, assists HCPC in the funding of the loans. They are being capitalised, then, by some major 'money.' We know the preferreds are converted to common shares within 12 months of purchase. Anyone, purchasing preferreds then will end up with HCPC common shares relatively soon. The 'money' then, is not just buying preferred shares as an investment for a fixed return, but is ultimately an investment in HCPC itself imo.

Would make sense then that the same 'money' would be buying up all the common shares they could lay their hands on at these levels too......if you knew enough to make a major investment to help capitalise HCPC in the first place, through buying preferred shares, you'd probably have enough cash and info available to you to accumulate all the common shares you could at these levels too, wouldn't you?

Last thought for now. Discussed before with others, but think it could be significant imo. Could these major investors not then be using a related HCPC company (previously dormant) to accumulate all the shares they could? Could it be The Cremel Group, or similar, which will be the new major shareholder in HCPC in the future. Maybe, then, HCPC don't actually need to carry out a major buyback at present to accumulate shares and increase their % shareholding, because major accumulation has already been occuring through a related company to HCPC, of which Carol is also a Director? As and when significant revenues do start and they do assign a % to the buyback (up to 35%), they could already have a majority control of HCPC.....albeit through a holding company imo. FIFG used to be the majority shareholder of HCPC, of which Carol is a Director. No reason why the same scenario will not be the case in the future imo

Some food for thought:)

GLTA

Thanks for the info ElisComing, the connection of Thomas A. Harman and The Cremel Group to HCPC just got stronger...........think we will find out much more on this developing relationship in the near future imo:)

GLTA

Price to Book Ratio

This would be an important valuation metric imo, if, as/ when HCPC gets capitalised through the sale of the convertible preferred shares. The financial sector/ banking uses this ratio a lot to assess whether the stock price reflects the assets (cash/ loans etc) owned by the organisation in the share price or not. Whilst references focus on banks, think this relates to any capital-intensive, finance related business imo.

Need to also take into account other factors, including preferred shares after conversion (i.e. full dilution) to common shares as well as any company debt before calculating the ratio.

http://www.pathtoinvesting.org/experts/research_stock/research_058.htm

Price-to-book ratio
Many analyst reports cite the price-to-book ratio, which compares the price of a share to its book value, which is the company's net assets minus its outstanding debt. You'll often see this multiple cited on the first page of a report, along with other major measures of stock valuation. Book value is supposed to represent the value per share if, today, the company shut down operations, paid off its debts, and its assets were sold off. As such, the usefulness of book value depends significantly on the industry.

A software company, for example, may have few tangible assets, so its book value may be low, making the price-to-book ratio seem very high. Meanwhile, a bank may have all its assets in investments that are easy to liquidate at current worth, so its book value will be very near the company's actual value to investors. Today, many companies might seem vastly overpriced if evaluated only on their book value, since they lack tangible assets, even if they produce valuable services or products. Furthermore, a company's profitability depends on the usefulness of its assets: $1 million of outdated inventory is a significantly different asset than $1 million of the latest model.

So even though the price-to-book ratio may get front-page attention on an analyst report, its significance in the report depends on the company and industry.

Debt-to-equity

Book value addresses an important factor in company valuation: debt. Analysts also examine the role of debt in book value through a ratio called debt-to-equity, which is the book value divided by the debt. If the analyst feels the company is carrying too much debt, it could affect the recommendation.

also see:

http://en.wikipedia.org/wiki/Price-to-book_ratio

Extract:

"P/B ratios are commonly used to compare banks, because most assets and liabilities of banks are constantly valued at market values."

and:

http://www.investopedia.com/university/ratios/investment-valuation/ratio2.asp

"It is probably more relevant for use by investors looking at capital-intensive or finance-related businesses, such as banks."

GLTA

Fine post mimurray.......says it all:)

GLTA

The last time the property (previously called Reno Hilton now GSR) was sold, the overall process/ timeframe began in May 2005, from the agreement to sell, to June 2006, for the completion of funding i.e. more than one year.....c.13 months to be precise:

http://en.wikipedia.org/wiki/Reno_Hilton_Casino_Resort

"On May 11, 2005 Caesars Entertainment announced an agreement to sell the Reno Hilton to Grand Sierra Resort Corp. for 150 million dollars[7]. On June 23, 2006 the sale was completed and the name of the property was changed to The Grand Sierra Resort."

This summarises it well, but there is plenty of other sources out there on the web to support this timeframe. Delays were caused by many factors, including resolving the Gaming Licenses with the State of Nevada by the new purchasers/ owners.

I don't know about the States, but in the UK, even buying a residential property takes a minimum of 3 months from start to finish, to resolve all DD/ paperwork/ legal title checks/ building and structural surveys and financing arrangements. And that is with a good legal team/ conveyancer, no complications and the wind blowing in the right direction:)

We know the GSR property came up for sale around August 2007. We don't know exactly when the sale/price was agreed, could have been August, maybe September 2007. So that gives us an idea of the possible timeframes we are talking about. If we take September 2007, as the starting date and the same timeframe of the previous sale, we are talking about October 2008 for completion/ funding i.e.3rd Quarter. End of May 2008 is 8 months. This may be the worst case scenario, the whole process may take 6-8 months, but we need to at least be realistic with timeframes imo.

So they are in the process of buying and raising finance. I think we will get a PR from them when they closed a phase of funding and or closed and funded the whole deal. From experience, deals do fall through during the process fo all kinds of reasons. Nothing is certain until the deal is closed/ funded. There is also still a risk that another big money buyer could come in if it was given a lot of publicity. Not sure about the States, but that happens in the UK all the time.

Yes, they could put out a big PR saying they are 'going' to buy GSR, but then they would be accused of pumping wouldn't they, by some people here, as it hasn't been finalised yet? And isn't it that kind of unsubstantiated claim that is rife amongst Pink Stocks, that gives them such a bad name? I could tell you I am planning to buy the Taj Mahal or the Sydney Opera House, but that wouldn't mean an awful lot unless I showed you the title deeds in my name.....and anyway I am not, I've got my eyes on Trump Tower...

I don't see that happening here. I think we will get a PR of substance when part of the funding or the closing has occured. And I am fine with that.

GLTA