On4 Communications Inc (ONCI)

[DewmBoom]

$ONCI Last Note....No More Dilution for the Next 8 Months

Original Note: $25,000
Interest: $2,500
Total: $27,500
Maturity Date: July 2, 2019

The three lows experienced during the last 10 days before maturity on 7/2, averaged to be 0.0005. At a 50% discount, that would make it 0.00025. If you multiply 110 mil shares x 0.00025 you get $27,500, which is the total owed.

So for the last note, the shares issued is 110 mil shares. (Don't know for a fact that they have been issued, but the way the stock is trading indicates so. Read my stock statistics, as the other issued shares earlier will break even at 0.0005. This suggests that those were cleared already).

110 x 0.0005 = $55,000, $35K profit
110 x 0.0004 = $44,000, $19K profit
110 x 0.0003 = $33,000, $8K profit
110 x 0.0002 = $22,000, $3K Loss

So far, we cleared about 85 mil at 4. Not sure if the rest were cleared at 5 or will clear at 3 or 4. The key here is that if the note holder sells his shares even at 0.0003, he can still make $8K in profit.

In my opinion, the selling has been going on but the trigger for the additional selling is dilution. For example, we started Q3 with a gap of 250 mil between float and OS. That gap is due to diluted shares that have not entered the market yet. Nobody can make money to sell at 3, but the note holder as shown above. At 2, the note holder will lose money on his investment. We have reached the end here, and I think the buying will begin soon. If the CEO intent indeed to benefit longs and ask them not to sell in a public PR that went around the globe, then our time is coming and soon.

Good Luck