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Friday, 01/22/2016 5:43:17 PM

Friday, January 22, 2016 5:43:17 PM

Post# of 37545
Escue Energy ESCU - DILUTION


What might the information below do to the share price? Especially if a paid stock promotion is implemented?

Page 10 of the SEC Form S-1

http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=11055219

DETERMINATION OF OFFERING PRICE



The fixed offering price of $2.50 may not reflect the market price of our shares after the offering. The offering price does not bear any relationship whatsoever to our assets, earnings, book value or any other objective standard of value. We selected the price for the common stock based upon the present bid/ask price of our common stock, the size of our market, our perception of our own uniqueness in the market and our beliefs about trends in our industry. Among the other factors we considered in determining the offering price that served to decrease it significantly were our lack of operating history, our succession of losses to date, or lack of liquid assets, and our continuing need for outside capital through the sale of equity or debt securities assumption in order to keep operating our business.



DILUTION




We currently have 41,135,059 shares of our Common Stock issued and outstanding. The shares that are currently being registered under this registration statement will have a dilutive effect on those shares presently issued and outstanding. What exactly does the company mean by this statement?