US Stem Cell Inc (USRM)

[Dragon Lady]

There it went- right to .0042 and that big block MM ETRF had showing since Friday.

It was 5 million shares on Friday and was posting on the Bid every day since. It got nibbled on yesterday once BMAK stepped off the Level II and let the Bid move down.

Now, the MM's just did it again- it's now about 2.3 million shares left showing of the original 5 million. I just figured, sooner than later- those MMs were gonna take it down to get at that big block, just common sense.

0.0042 / 0.0045 (2369600 x 10000)

With the Bid/Ask now collapsed to the low .004's, this is just one decent size sell order away from a new all, all, all time low in the .003s

Even a 10% sell off, which is nothing on this one if a dilution MM/Convertible debt hedge firm steps in and unloads (often does 20% downside in a blink on 5 to 10 million shares in a "down-leg" dilution sell-off cycle)- then it's gonna hit those .003's w/o a doubt IMO

Just too much continued weakness here and a seemingly endless supply of low priced dilution shares piling on, un-ending for all intents and purposes.

Figure if a hedge convertible debt lender were to convert right in here now (Asher, Magna, Vis Vires, KBM Worldwide, Daniel James, Fourth Man, etc) - look at what they'd get their shares for now. Most every deal has a 45% to 47% share discount built into it:

.0044 X .53 = .0023 CENTS per share, WOW !!

That means that firm could then sell and dump those shares (probably 10's of millions at the conversion price and convertible debt amounts owed by this company)- those hedge firms could dumb/sell even at .003 then and still make a 50% return on their money.

STAGGERING what the massive death spiral dilution implications are IMO. Just amazing.

It's no wonder the SEC and others call it a "death spiral" - what happens when near endless convertible, floorless debt deals are used to finance a company like this (See any latest 10-K or 10-Q and just look for Vis Vires, KBM Worldwide, Asher, Fourth Man, Daniel James, etc FIVE more convertible debt deals in just Jan/Feb and April of 2015 already, plus of course Manga now being continually in the picture with the "credit line" being tapped heavily according to the last SEC qtr filing)

http://www.bloomberg.com/news/articles/2015-03-12/josh-sason-made-millions-from-penny-stock-financing

http://www.sec.gov/answers/convertibles.htm

http://en.wikipedia.org/wiki/Death_spiral_financing