Spongetech Delivery Systems, Inc. (fka SPNGQ)

[tturner617]

Exlud--ya got to be kidding us!! The shr structure is what has kept us DOWN for a yr!!!!. To be fair, the Co has diluted by selling restricted shrs to RM (a holding Co controled by SPNG's Corp officers) with a buyback provision at cost. So the finantials showed shrs outstanding go from about 40m to a high of 1.24 billion--(this realy sucked the air out of EPS) In effect the Mgmt was using RM as a line of credit to finance the working capital needed to support the 1000% growth rate. NOW the tide has turned. Co mgmt has already taken the shr count to 722m and MAY have retired more of the restricted RM shrs (Q said had another 133m ready to retire) Also, Mgmt has said they would "like to" get the count down to the 200m range--but not holding my breath on that one. I would be more than happy to see the count down to the 500m range by end of May.