1st NRG Corp (FNRC)

[iwant1mil]

Chances are that they bought convertible notes or preferred shares. Usually these convert to more or less common shares to get the same guaranteed dollar value. When the pps is high, they get less shares and when the pps is lower (like .0001) they get more shares. So it doesn't matter to them if the pps is .001 or .0001, they convert to the same value. Once converted, they are locked in, so converting when high, the pps can fall and they will lose value, but converting when low like .0001, the pps can go up increasing their value. But most just want to convert and get out at this point.

The problem here is these new converted shares dilute making it harder and harder for the pps to move up. Add this with the lack of management communication, I think FNRC is toast now.