Baristas Coffee Company, Inc. (BCCI)

[BobSinCA]

Why does R/S, A/S increase surprise anyone?

R/S was always going to be required to meet the minimum pps for uplisting, a stated BCCI goal.

'Writing was on the wall' on A/S increase some time ago, with O/S = A/S, and 30M more shares needed to support the preferred O/S of 25M plus.

The 'coup de grace' was when the 10-K disclosed the issuance of 120M more shares to senior management, more than half of it retroactive.

And not to forget, the use of shares to pay vendors (for example, 5,000,000 shares to Calip Dairies for ice cream development and distribution). Company needs more shares for that purpose -- a lot more, given pps decline and current level.

Thus, my projection back in April/May for 600M as a new A/S level.

With the 10-Q announcement of intent for equity financing this year, I am surprised it is actually only 600M. At current price levels, 100M shares of equity financing will likely deliver less than $2M, as the company has a history of private share placement at 50% of public market, though that was when the pps was higher. But, pps trend, balance sheet, and income statement would likely give pause to any new equity investor, again requiring the traditional 30% - 50% discount that BCCI has offered.