I agree with your take and others on this board in regaurds to
the positive implications of an increase in A/S in CTUM. When such accours in most any stock(most definitly ANY Pink OR OTCBB) Investors tend to look for the door,, but having said such, I must say that in the case of this company's proven track record of responsible use of shares I am not alarmed and see another arrow in the quiver.
#1. I have long considered the insider share count to be barely sufficent in count to control in case of hostile.
And tho I am admitidly not totally familiar with current preferred share counts, I believe currently a common share vote could block. Being honestly asked for a vote of confidence goes a long way, for me, in an otcbb listed company!
#2. Much of this filing goes towards addressing Options and the Grantees rights and responsibilties. I for one have yet to see in any communication from the Company a "fluff" or obvious wasteful directive. This leaves me to believe the nessesity of such statements of conditions towards optionees
are needed at this time. "Performance Awards" have always been a red flag to me but this is not such imo. Taking these factors into account I feel there is an increased awareness of potential coming into the companies future via exsiting and NEW directors/ consultants/ officers. Also the "• Term of Plan: Ten years - until May 8, 2013." Seems to me to be very responsible in regaurds to Options any dilutive effects.
#3. The current company founders/officers cannot be expected
to maintain control and direction of the company via the continual purchase of market shares maintaining the % they own/control versus the os at any point at market prices if the pps increases to the $2.00 level as the CEO has projected.
The insiders have, to the large part, have invested in the company at what the current price was at the time but to maintain control of the company this is probably a little more than can be expected at elevated pps of any companies owners/founders. I applaud those prior investments into the company but as the last years share purchases show the dollars vested are remaining apprx. the same while the shares
accumulated from the "same" dollar vested returns the insiders less and less shares as it does the common investor.
#4. Considering the last "10" filing, indicating a possible final resolution to legal difficulties affecting the lfg investment coming quite possibly in 1stq/07......
"On June 30, 2006, CSMG was served by Nature Coast Collections, Inc. in
the Federal District Court for the Southern District of Texas, Nature Coast
Collections, Inc. v. Consortium Service Management Group, Inc., Donald S.
Robbins and Gordon W. Allison. The complaint alleges that Nature Coast
Collections, Inc. is the assignee of the original payee, Stonegate Management,
Ltd., a Costa Rican entity, of four promissory notes executed by CSMG, Donald S.
Robbins as guarantor, and Gordon W. Allison as guarantor. The amount claimed in
the suit is the aggregate principal sum of $630,000, with interest, costs and
attorney fees. CSMG has answered the complaint and filed a counterclaim
alleging, among other matters, that Nature Coast Collections, Inc. is an
affiliate of the debtor in the bankruptcy proceeding in the Northern District of
Illinois referred to above, Resource Technology Corporation, and that CSMG
should be authorized to offset its losses caused by its contractual relationship
with Resource Technology Corporation against the claims of Nature Coast
Collections, Inc. CSMG has moved the Federal District Court for the Southern
District of Texas to transfer the proceeding to the Federal District Court for
the Northern District of Illinois so that the litigation can be referred to the
United States Bankruptcy Court for the Northern District of Illinois."
and
"At an
October 26, 2006 status call, the Court stated that it would review the issue of
CSMG's standing to bring a substantive consolidation suit in the United States
Bankruptcy Court, which decision is expected to be made in the first quarter of
2007."
... should this court case finally be put to rest, in toto, (1st quarter 07 via resolution or settlement)
I will not be suprised to see developments in lfg move forward rapidly and again reward shareholders much like this years previous springtime appreciation.
i
