Newlead Holdings Ltd. (fka NEWLF)

[styl]

tob999

this dilution happened <from 10 mil to 138 mil os> because the managment of newl did not pay their debts when they were called in.........they <the financiers> took newl to court........and the courts gave the debtors the right to receive shares until their debts were paid..........or receive cash for their debts and it would stop..

managment for whatever reason didnt sell or liquidate something of worth <the mine perhaps> and pay off their debts to avoid being diluted by that way and in such fashion......managment failed..what did they think that the stock was going to just sit at 3000 while everyone cashed out?

is there a probable theory that shorts took this forced dilution in a way to force this company near bankruptcy and guaranteeing their short positions solid gains???? Of course......and theyve succeeded in doing irrepairable damage to this company in the form of o.s. structure and decimated pps.....

should you blame the shorters or managment who allowed this to happen because of their inability to get their house in order sooner..........
if newl had serious equity they should have used it to take out a loan and pay off the debtors who did this to them at so called rock bottom prices......

good luck..........my advice to you is to avoid averaging down.............if it goes to 3 cents and they still have 138 mil o.s.........then maybe you can avg down just a little bit and hope for a pop back to 8 cents..........but this is a gamble............go to the roulette wheel and put 100 bucks on "7" it pays out 35 to 1 <$$3,500> and i really think you have better odds with that one than with newl.

good luck tob999