That is not totally correct. The main reason of the R/S, as stated by the CEO, was to clean up the cap table and get millions of shares out of former ("Stratton-Oakmont") brokers hands who were "consultants" to the company when it was private, and whom the company beeves drove the stock down intentionally from .30 to .005 in an effort to accumulate stock cheap and take over the company. They didn't pay for stock, (i.e.: no basis -$0-in the stock they held), and brought absolutely no value to the company. The R/S was also to clean up the cap table to manage towards an uplift. It wasn't to do an actual uplift. There are other criteria the company needed to meet. The R/S just makes it easier to do.