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Re: roiresearch post# 9088

Wednesday, 12/03/2008 12:28:42 PM

Wednesday, December 03, 2008 12:28:42 PM

Post# of 16405
“i am really new to this stock - and since i've been in this stock the company has been pretty much silent this is the 2nd kaitrade blurb i've seen - anyone care to fill me in on what that is and how it relates to xxis.”
First off, Welcome. I have been here since the end of July invested in both Capital 141 (XXIS) and Spooz (SPZI). To understand what is going on, one must understand the background of Spooz, (SPZI) and the CEO, Paul Strickland. Spooz originated from Texas as a small brokerage trading firm and peddled software. Next the brokerage piece was dropped, and the software became the main focus. Last year, Spooz spawned Capital 141. Recently, some of the back office staff of Spooz left and then created Kaitrade, LLC, which has caused a considerable amount of discussion on the Spooz discussion board.
http://ih.advfn.com/p.php?pid=nmona&cb=1228319459&article=28637925&symbol=NO%5ESPZI

Note, that when Capital 141 was created, special “trading modules” were created by Spooz for Capital 141. These modules were created by the staff of Spooz, which is now at Kaitrade LLC. For individuals who are solely invested into Capital 141, the issue of Kaitrade LLC is a non issue. However, the issue was raised indicating that a third shell could be created. http://investorshub.advfn.com/boards/read_msg.aspx?message_id=33907671
My response was somewhat rash as I indicated a third shell already was created, Kaitrade, LLC. http://investorshub.advfn.com/boards/read_msg.aspx?message_id=33914520 http://www.kaitrade.com/
Now, there has been speculation as to how all of this relationship between Spooz, Capital and Kaitrade fit together. There was one scenario that was previously raised by a poster on Spooz, whereby either Spooz or a reseller such as Kaitrade, sell product but then the buyer would like some of the modules previously provided to Capital. The question is whether Capital would be willing to sell the modules on a royalty basis, thus enabling the investors to benefit as well.
I have avoided posting on Capital 141 for some time, as the ongoing argument of the preferred shares never seems to end. While the math definitely seems enticing to an individual investor, the only benefit that I could surmise that Capital would be receiving is a defensive poison pill, which mirrors the Spooz/Kaitrade poison pill. The type of preferred stock offer appears to be convertible, non-cumulative preferred stock only.
This of course leads me to a hypothesis, that I put forward on the Spooz discussion board regarding the recent, rather strange behavior of all three, which was to create poison pills to defend themselves against a possible take over scenario. http://investorshub.advfn.com/boards/read_msg.aspx?message_id=33725278 and http://investorshub.advfn.com/boards/read_msg.aspx?message_id=33731876
To understand who would buy the two companies, is to understand the speculation of who the customers of Spooz are.
My decision on whether to convert to preferred stock from common stock will be my decision, which will remain private. With all that said, I am long on Capital 141 and Spooz.
IMO. I hope that helped.







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