Hmm there doesnt seem to be a clause allowing for the loan to be repaid without stock which is too bad, if we assume they will actually be profitable in not too distant future. But this doesn't seem to be part of the terms, that is, it seems inevitable that another 250 Mill shares will be issued at one point. If the shares are valued right around where they are now, that's 250K, not much more than the loan. If its a cent, then that's 2.5Million dollars, which is pretty darned good return on such a loan. And for even higher stock price, like .10, they make out like bandits. So I guess the answer is that there is no way around it, that these will turn into shares. If it is 2 years as you mentioned, thats a very long time into the future. I dont know how the anticipation of that many shares hitting the market so far into the future plays into the stock price over that long time period, it's obviously got to be some sort of drag as time goes on.
Regardless, the "market" doesn't seem impressed by this move, well, sort of like the previous X (fill in your own number) press releases. Maybe they should release some really bad news, that should help, isn't that the way it works sometimes?
