Wave Systems Corp. (fka WAVXQ)

[cpa]

To all:

Here is the problem with a reverse stock split:

If they do a 1 for 3 or 1 for 4 reverse, the stock is going to have alot more room for the shorters. The shorters will smell the blood and attack. The stock will fall under enormous pressure and drop.

At that point, the stock may not meet the capitalization requirements and again not meet NASDAQ listing requirements. I've seen this before in other stocks. Not one of the ones that I've seen it in surrived.

I think this split is the worse thing that Wave could do.

If they need to raise funds, do it now while they are still listed. Raise $9 million instead of $4 million. That should be enough money to get them through based on the predictions by the longs.

I firmly believe that this reverse will mark the beginning of the end for Wave.

Many of you have said before, what's the big deal if Wave is delisted. If Wave is really going to survive, raise the money now, accept the delisting and in 6 months apply again when all the money starts to flow in.

The only reason I can think of as to why management doesn't do that is that they don't see significant revenue in that time frame and $9 million isn't enought to survive.

CPA