Cartel Blue Inc (CRTL)

[august1991]

SORRY...I was behind on reading posts.....
Questions and Answers.....

Why doesn't Peter ungagg the T/A?

The T/A has a policy of not issuing numbers for Pinks.. they are not “gagged”. I have authorization from the Company to obtain T/A information. The total O/S after any conversions would be approx 957M with a 318M float. The float would only increase if shares are made unrestricted and sold. The previous press release clearly stated the .001/.004 EPS figures were done on a fully diluted basis.

Shouldn't the A/S be high enough to include the Preferred shares being converted into commons?

No, just because one series of preferred have a 1:100 ratio does not mean the new series has that conversion. The new additional preferred were issued to the CEO in order to maintain voting control and not for dilution.

Peter states in the last PR:
"The 240M shares will be issued under rule 144 and would be restricted for at least 6 months. "
If this is true , then why increase the A/S so soon and more than double what it would've taken to include Carnes preferred conversions?

There are also an additional 370M shares set aside for 2 promissory notes. As stated before.. all this was taken into account with our earnings estimates. It costs money to make amendments, Nevada was who actually recommended raising the preferred and Authorized higher than needed to save money. The Company feels it can achieve all its goals with the new capital structure.