Tuesday, May 18, 2010 10:59:57 AM
A point I don't believe anyone has brought up recently is that this company has very few CS compared to other companies. Most "normal" companies use their CS to help pay off debt or raise money for operations, the banks showed that ability recently paying off the government. There is a relation between company value and cs values because it gives them access to $. I find it interesting that Goldman which is known for making money at all cost is willing to pay $27 for an IPO stock in a company which the BOD is trying to argue has little or no value. Furthermore because VSTNQ has a low CS amount it could easily raise money with a new issue of stock once it has recovered from BK. They are willing/able to sell options at $27 to Goldman is it so unbelievable that they could issue more CS at $15-20 if they keep the current CS?
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