Gentlemen, please allow me to dispel some rumors:
Private Placement: Shares are restricted from trade for 6 months and sold in $10,000 blocks. Most of the big investors....the ones who buy PP in increments of $100,000 or more....aren't "settling" for a 100 or 200 percent gain. LOL, the big guys are in for the big money and the long haul. Think more like thousand percent returns and only after holding the stock for at least 1 year. The big guys calculate in the tax consequences (20% for long term investments, 40% for investments held less than 1 year) when they roll their wheelbarrels full of cash to the bank. And yes, there was paperwork to be signed regarding networth, experience in business and in the stock market, and etc. before I could purchase PP.
Large Losses over the years: Of course. This whole process has resulted in nothing but expenses (and a few assets, like N706BL and the private jet, as well as office equipment and etc.), but some of those expenses will be counted as an asset on Baltia's books when she hangs her certificate on the wall (a large part of the expenses leading up to that certificate are considered what that certificate is worth and how much it could be sold for). Besides, the "loss carry forward" is going to come in handy for Baltia when they begin earning revenues that they can offset against those prior year losses and save on tax expenses!
At the bare minimum, with no hype, Baltia's market cap at certification should be at least $500 million even with no revenues to report. Her certificate, her assets, her loss carry forward, her organization of experienced employees and pilots, and HER EXCLUSIVE ROUTE AUTHORITY between JFK and Pulkovo, all add up to a minimum value of $500 million and a minimum value of 10 cents a share. Not a bad return....500% in under 2 months....especially for something with very low risk at this point in the game.
What's left? With the toughest part of Phase III....tabletop exercises....satisfactorily completed the first time through, all they have left is the fun stuff......mini evac and ditching exercises, and the proving flights. All that is left is the fun stuff....playing with the airplane, and not even having to deal with passengers....between now and Baltia's certificate. Sit back and enjoy the ride......this baby is well on her way and headed straight for success.
It is going to be a very interesting and fun next 6 to 8 weeks as we watch the birth of America's Newest Airline.
