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Thursday, November 06, 2008 10:19:16 AM
LOL 2future4u did you read what you wrote?
when the company increases A/S, it does it by R/Sing the share structure affecting your current share price.
There is no requirement to R/S your shares due to a raise in the A/S.
Funny thing here is that the company seems to be saying they are going to reverse and then immediately dilute this into the ground whihc will devalue what few remaining shares you folks have.
In other words they will reverse your holdings say on a 1:1000 basis. Artificially increasing the pps. They will then immediately begin selling new shares at higher prices which will drive this right back to .0001
Now say you had 1 million shares prior to the R/S. You will have 1000 shares after the reverse split. Now, youwould think that the stock would begin trading at .10 but that's never the case. It won't even be close to that and it will probably lose about 90% of it's value on day 1.
Within a week or two it will be close to .0001 again. And that will still leave you with 1000 shares or a value of .10
If you think for one minute that a reverse split here will help you in any way you are mistaken. It is going to totally wipe you out. Hoep you didn't have too much invested here because it's already gone you just don't know or understand it yet.
when the company increases A/S, it does it by R/Sing the share structure affecting your current share price.
There is no requirement to R/S your shares due to a raise in the A/S.
Funny thing here is that the company seems to be saying they are going to reverse and then immediately dilute this into the ground whihc will devalue what few remaining shares you folks have.
In other words they will reverse your holdings say on a 1:1000 basis. Artificially increasing the pps. They will then immediately begin selling new shares at higher prices which will drive this right back to .0001
Now say you had 1 million shares prior to the R/S. You will have 1000 shares after the reverse split. Now, youwould think that the stock would begin trading at .10 but that's never the case. It won't even be close to that and it will probably lose about 90% of it's value on day 1.
Within a week or two it will be close to .0001 again. And that will still leave you with 1000 shares or a value of .10
If you think for one minute that a reverse split here will help you in any way you are mistaken. It is going to totally wipe you out. Hoep you didn't have too much invested here because it's already gone you just don't know or understand it yet.
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