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Wednesday, October 01, 2014 9:54:59 PM
You declare a 10% stock dividend. Although you each now own 110,000 shares you still each own 50% of a company that is still worth $200,000 and the value of each persons total shares still remains $100,000 even though you each now own 10,000 more shares. The value of each share has fallen to the 90 cents per share range. Nothing has actually changed even though Mr. Chapin largely succeeded in convincing the cheering hoards that it had...then for additional laughs there was the guy who followed up by thanking management for increasing the authorized share count to 1 billion.
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