Hello Al
I'll take the time to read over those financials this eve. Thanks for the info. Is there a pro-forma statement / budget to be found as well?
The point about my secretary is that I indeed thought for a moment that the stock had soared to 43 cents. It was not "childish"; she simply mis-spoke or did not glance carefully enough at the decimal place. Either way, 43 cents or 4.3 cents got me out of my chair.
Just to clarify what you stated for some of the newbee investors out there, most successful startups do not begin as pink slips and the opposite is true. The problem with penny stocks as you disclosed is that the information forthcoming from the management of these companies is vague at best, and as such, the risks are much greater than buying even the highest risk Nasdaq tickets. If pink slips were truly where it’s at, more analysts would cover the pinks and Jim Cramer would be exciting to watch (I do like Jim BTW).
Now, the beauty of the information age is that everything officers do with restricted shares, or former restricted shares is tagged. You should be aware of that. Just for fun, ask Mr. Lee S. if he sold off 50k shares on 11-14 then again on the 15th, and once again on the 16th. Matter of fact, there are approx fifty other sale occurrences in '06 ('07 data is not yet readily available). The brothers must talk allot with one in KY and the other here in Fl because they seem to follow the same dumping habits. I don't think the SEC would lie about these dates, do you? Not meaning to be pampas, but I'd be willing to escrow up a private bet with you or anyone including either of the brothers - let's say for $10k that I am right on that one. Before taking me up on the bet, check with the Schaefer brothers one more time first. I'll place my winnings with the wounded warrior project to boot.
For the person who asked what is wrong with selling off shares, typically nothing when an officer of a "real" company is doing it, but even then, it can be a strong indicator of corporate performance from sitting chairs. The danger for small investors is that the rules regarding pinks slips are very liberal and most pink slip scams follow the train tracks that RRGI has been riding. Lots of hype, lots of delays (have to get past that 1 year SEC bar date), then the fizzle happens. All the while legitimate investors loose their money while the millions of no cost shares and revenues held by "the team" end up converted to cash in their own pockets. I'd like to make a point to the person who asked about the sell off of restricted shares to pay yourself or provide for day to day living expenses as officers. The stock is their bonus money. Corporate salaries and other operating capital are extracted from the proceeds of shares generated by the sale of stock to the every day average Joe. Most companies place their own restrictions on the sale of shares held by officers for the obvious reasons cited.
Is RRGI a scam? At this point, considering the information provided, the serious deficiencies in production and work product - an experienced and rational investor would say yes. I still stand by my first post that RRGI will continue to slide and a mediocre low budget production will occur as the attempt to exhibit some legitimacy. Nothing is more indicative of a scam than the sell off of restricted shares by corporate officers and those who possess these shares, even as the share price continues to slip. Lack of production funding is one thing; doing it "on the cheap" is another.
But let's recap RRGI: Original airdate was to be in spring of '06. Fox got dumped and Spike was bought in to play. The concept has gone from 200 mph NASCAR to 90 mph short track. Recent delays were the lack of HD camera equipment (ridiculous). Then they forgot to get the cars (more absurd). The Bronson folks seem confused about the format and contestants. Now the President of this company is laying the foundation for more delays due to the need to overcome a deficit in production capital (inept). Add to all of that the fact that the more you dig into RRGI, the more inconsistencies there are to uncover. If today’s proclamation by RRGI president, Lee S regarding a falter in production funds were not enough to have you believe that RRGI is managed by a team of idiots, then you can always join me on the "its a scam" side of the fence.
Either way, investors are loosing money for no valid reason!
Thanks for your time AL,
Stan
