Hemi Energy Group Inc. (fka HMGP)

[zguy]

With all the talk of a 'gagged TA' I too would like to ensure all investors reading this board have a clear picture of just what this means and means in this market. Some lately have been saying they want people to have a balanced view but I feel important parts about pink sheet share structure info is not being talked about.

There are some who claim to be experienced traders yet they seem to lack the very basics when it comes to investing. It is like some on here want to go into a Chevrolet dealership and look at entry level base model Chevys but then bitch and complain to the salesman that this entry level Chevy doesn't have all the same features of a high end BMW. Just as there are different levels of cars, there are different levels of markets. I'll try to help educate these people along with any new investors who have been reading about this gagged TA people are trying to make an issue about.

First off, there are different markets. Each market has its own set of criteria. Here is the basic rundown...

1. Greys or Grey Market
2. Pink Sheet
3. OTCBB
4. Big Board stock

Each one is a "level" so to speak. Think of it when you moved out of your parents house. Most people do this in steps or levels... you might first live with a buddy or have a room mate. You get a little more money and you might then be able to get your own apartment. You move on and up in your life and then are able to buy your own mobile home maybe. After that, maybe a nice little starter house on a little chunk of land. Then at some point later you are able to move into a "fancy" house and maybe even on the water. Stocks can be similar especially in the pinks. The next step up is the OTCBB then after that going on to be a big board stock. Sure, it would be nice if we could have our entry level house (stock) with all the cool stuff a multi million dollar house (big board stock) has but it doesn't normally work like this. :)

You get financials and more readily available share structure (due to the required reporting) at the the OTCBB level and above. Pink Sheet stocks and lower do not report financials. If you are the type of investor who requires financials and must have readily available share structure info then Pink Sheet stocks are not for you. It's like the car example above... don't bitch at the salesman because you demand side air bags, automatic parallel parking, and active suspension while looking at an entry level Chevrolet... you need to be going to the BMW lot because you demand the higher "tier" of options.

Now, back to the 'gagged TA' as has been brought up here often the last couple of days. Let me make this very clear... it is NOT the norm to have readily available share structure information in Pink Sheet stocks. I'll repeat, it is not normal for Pink Sheet companies to make share structure info readily available to all investors. It is just the way it is and as an investor you either deal with it or move your investing to big board stocks. This whole notion put forth here the last couple of days that Hemi is an "outlier" is false because it is very far from the truth. For those who don't believe me, go pull about 50 random Pink Sheet stocks and spend the day researching to see if they have a readily available share structure and report back what you find... I'll bet you a beer or two it will be a very very small percentage. And, if you do find some, research a little more and see how their share structure had changed just prior to the company making it available and I think you'll find the share count went up considerably with very little shareholder value added, pissed off the share holders, then 'ungagged' the TA when the diluting was over. Anyway, I feel it important for the less informed to stress the point that Hemi is not doing something "odd" here and it is just the way it is. Don't like it, invest in stocks which trade on higher exchanges.

As for the talk about expenses in having an "open" TA, I have also done research into this and talked to Hemi's transfer agent and was evidently given different answers than others. In fact, Hemi's transfer agent deals with companies that trade on all exchanges and they told me that they didn't currently give out share structure information for ANY of the companies they dealt with. So, it isn't that it's 'gagged' it is that it isn't a normal practice. They also may charge extra if the company does do the odd thing and take the action to allow them to give info to investors that call in. See this post for what I was told...

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=26672811

Basically, for all investors, it is important that you invest to your comfort level. If you demand detailed "real" financials and at least quarterly updates on the share structure then invest in OTCBB or higher and stay out of the pinks. If you would like to invest in pinks then most definitely do your DD and if share structure is important to you (and it should be!) and you can live with updates when the company is ready to update you, then look at how the CEO has performed for the past few years. I myself am pleased with what Keith has done and how he has responsibly IMO used shares. Sure, we'd all like to see the shares not go up one bit but public companies aren't created to issue zero shares! LOL! You have to look at what is being done with the shares. Granted, you may not be able to see exactly what is going where but you can get a good idea by reading through past press releases and seeing the different acquisitions/assets purchased by the company. Using a bit of deduction, you can tell if the CEO is legitimately trying to grow the company or if the only intent is to milk the bank dry. Hemi has had continued asset growth since I started buying the stock in late 2006. With this, we've seen an increase in the shares o/s. This I'm more than fine with because IMO the amount the company has grown far exceeds and ratio for the amount of shares given out for this growth.

Anyway, sorry for the long post but I hope I made my point clear that a readily available share structure is not the norm in the pink sheet market. If you need this to fit your comfort level then immediately quit wasting your time here and start reading big board stock boards.

(Note: I posted this earlier but have edited the parts that could even remotely be construed as "off topic". If somebody feels the need to delete this post then I request you delete every post the last week which contains the word "gagged" because all I am doing is providing information related to the recent posting. If my post is off topic then so are the others.)