North Bay Resources Inc (NBRI)

[es1]

Wow that would be stupid wouldn't it?
Especially when they have so many hundreds of millions of shares left to convert and they can only hold 10%.
They need to raise the OS so they can get more shares.

See right now they can only hold about 30M shares.
But they need to convert 500M or more before it is at no bid and they cant sell.

Every time they do a conversion the OS grows and the next conversion can be larger. They are almost to the point where they can control the OS now. That should happen at around 400M OS. The SS will triple very rapidly at that point.

Like any good investor the VCs are compounding their shares. They convert 30M and they can get 33M the next time. It compounds on the way up. Works really well for them and not so well for people convinced to hold a dilution stock.

So they are converting and dumping as fast as they can. They can still make a profit if the PPS drops 25%. If it drops a bit too far, and they still have shares, they will stop selling and let the PPS climb a few ticks and dump the rest. Whatever it takes to keep the shares flowing at a profit

The share structure will climb about 25 to 30% every couple weeks for the next 6 months until they run out of conversions.
Then PL will tell everyone how the conversions are over and they are going to do a RS and attack the Ruby again.
THEN the conversions can begin to build up again.

This is at least 50% of the reason for the shutdown.
There is no other way to keep the PPS active for the next 6 months and allow the VCs to empty out without going to no bid.

The hope of keeping it alive just till spring will work good enough.

ALL IMO of course