This is happening because the toxic financers are still owed a lot of money and
1. There are not enough shares left in the A/S to pay them off
and
2. Too many people are seeing this company for what it really is now and there isn't enough volume to satisfy those debts at this level. The notes are in default because they were not able to satisfy the debt by the prescribed date.
So they RS to open up the 2.5 billion A/S to be able to sell a sh^tload of shares again to pay these debts off. The price will be .20 per share after the RS (or perhaps .10 per share if the RS happens when this is still at .00005), which may bring new suckers as some people don't even look at stocks unless they are above a certain PPS.
After the reverse split they start selling shares again and watch it plummet into the sub-penny range again. This is lose-lose for anyone buying into this POS before the RS. Some of us will lose a lot more than others. I for one will be losing big, but I guess the tax write off will be nice LOL. Tough lesson learned for me.
G&G
Don't hand me no lines, and keep your hands to yourself