International Aerospace Enterprises, Inc.(fka IARO)

[gryfus]

Cd holders could convert only after May 2008, and they could convert at the price in May 2008: the lesser the price, the more shares they get; then it's not sure they would sell that shares, but they can overtake the company, that's why cd holders often short the stock before the conversion date, to get more shares. I think that CLBE is diluting to repay at least some of the convertibles before the due date, to reduce the amount of shares the cd holders shall get.

Anyway it's not sure at all they will dilute for all the debts until May 2008: they could only dilute for some, or they could even renegotiate the debt, so everything can happen, and saying that they'll continue to sell shares until May it's only a bet. Of course I don't expect the stock price to climb much before May because of both the convertibles and the fact that we'll see the first revenues from LifeStem starting in the 10K which is due next March and then in the 10Q due in May, but again the markets often precede good news, and given the fact that this is still severely undervalued a double or triple in share price before May could always be the case.