Exten Industries (fka BB: EXTI)

[Patricia_1]

Newmin/email..did not exercise options/Form 4
as explained by rb poster

By: rickj_65
08 Nov 2003, 10:38 AM EST
Msg. 12276 of 17310
(This msg. is a reply to 12249 by tradenride.)
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TradenRide - Newmin did NOT exercise any options

You're missing my point.

I am clarifying Mr. Newmin's transaction because these transactions by EXTI have been misinterpreted and misrepresented by posters who do not exercise proper due diligence and jump to incorrect conclusions.

Again, Newmin DID NOT exercise any options. He simply monetized common stock which was granted to him from EXTI as compensation for employment/consulting services in lieu of salary. This process occurs and will probably continue to occur with officers and certain consultants until EXTI has enough positive cash flow to pay regular (and well-deserved IMO) salaries.

Newmin's Form 4 only indicates common stock acquisition and disposals and adjustments to total COMMON stock. There is NO activity in the derivatives section of the Form 4 (which there would be if any transaction related to options occurred).

http://www.sec.gov/Archives/edgar/data/811779/000102090803000003/xslF345X02/primary_doc.xml


If Newmin were exercising options, there would be transactions listed in the Derivatives section of Form 4.
For example:
http://www.sec.gov/Archives/edgar/data/894743/000123682503000008/xslF345X02/edgar.xml

The $.15 and $.21 acquisition prices (which is a misnomer given the nature of this particular transaction) are what the price of the common stock was at the time the services were performed and compensation determined...probably for services rendered in September and October (as previously explained in this e-mail from Greg Szabo to myself from last month)...

http://ragingbull.lycos.com/mboard/boards.cgi?board=EXTI&read=6464

By: rickj_65
10 Oct 2003, 12:18 PM EDT
Msg. 6464 of 17311
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E-mail clarification from G. Szabo on recent SEC Filing by G. Newmin:

I had asked Investor Relations (Greg Szabo) the nature of the Mr. Newmin's recently filed purchase of 343,000 shares at $.07 since I couldn't find a warrant or option provision in the SEC filings that fit the particulars of the purchase.

Response From Greg Szabo:

"Thank you for your interest in Exten. Mr. Newmin, along with myself, our Board members, and some of our consultants are paid in stock instead of cash for some or all of their services. This is of great benefit to the company. Mr. Newmin in particular takes no cash and never has for all of the services he provides. We accumulate the stock that is earned by all and then a board resolution must approve its issuance. In this case that you reference, the stock was issued for services in June, July and August. He was not given stock at a discount as the stock was trading at this price at the time.

I hope this answers your question.

Greg Szabo"

FWIW, I asked his permission to post his clarification in this forum.

Regards,

Rick