Iconic Brands Inc (ICNB)

[Whiplash_Investor]

The 1.388B came from Rich's 2nd qtr financial report on the "average fully diluted" OS (even though those issued were only 901M at the end of the qtr), just not all sold into market yet. The OS is now is 984M (issued but not including those 688M promised for debtors). But some of those debtor shares are probably already sold, but nobody knows how many. In any case, the 1.388B came from Rich. Earnings per share, fully diluted, must contain all shares, and must use the average shares throughout the qtr, not the end of qtr number.

So let's try to figure out where we are now on a fully diluted basis now. Originally adding the 849M OS to 482M debtor shares = 1.331B. That was how things were when Rich announced the debtor deal at 482M.

A few weeks later, he raised the debtor shares to 613M. Recently, that changed to 688M and an even more recent announcement of 200M more are coming (so far as toxic debt, but unknown if consummated yet or final disposition).

Anyway, we could add all that up (leaving out the 200M for now, since unknown if completed yet) and get 984M + 688M = 1.672B, but there may be and probably is some overlapping. Since Rich has not provided a breakdown of how many of the current 984M is part of the 688M. We know 849M has no debtor shares, so the increase of 135M to get current to to current OS of 984M may be all normal dilution for expenses or all debtor shares. Both scenarios are unlikely, so it's some mix. Thus adding 984 and 688 may have some double accounting.

So OS after debtor shares could be as low as 1.47B and as high as 1.672B. Add to that another 200M or 1.678B to 1.872B. Further adding normal expense dilution and the number is approaching the 2B AS.

I expect to hear that AS has been increased on the SOS site in Nevada any time in the next 2 months. Only one reason to raise it...more dilution coming and every investor knows it and will avoid this stock like the plague.

We're entered the death spiral once we dropped below $.01. A 60% drop in such a short time is a strong indication of death spiral. Next one will be AS raise or RS.