Positron Corporation (POSC)

[crammerfool]

1:10 Split & 10:1 Reverse Split

This is how I am understanding the statements:

(ii) increase the number of the Company’s authorized shares of capital stock from 100,000,000 shares to 1,000,000,000 of which 950,000,000 shares will be common stock par value $0.001 per share (the “Common Stock”) and 50,000,000 shares will be preferred stock par value $0.001 per share (the “Preferred Stock”)
Imagin will first do a 1-10 Stop Split on the authorized shares of capital stock from 100 Million shares to 1 Billion shares. (950 Million Common Shares; 50 Million Preferred Shares.)

(iii) effectuate a reverse stock split of our issued and outstanding Common Stock by changing and reclassifying each ten (10) shares of our issued and outstanding Common Stock into one (1) fully paid and non-assessable share of Common Stock (the “Reverse Split”)
After the Stock Split, then 950 Million Common Shares will go through a 10-1 Reverse Split to bring the Common Shares down to 95 Million shares; while leaving the new Preferred stock at the newer 1-10 split, at 50 million shares, where before it was 5 million shares before the split.

If this is what is happening, then it looks to me as if they are greatly devaluing the Common Shares PPS and trying to greatly improve the Preferred Stock PPS. And if this follows as some other Reverse Splits have gone through, expect between a 50%-80% pps drop after the split. I hope I am reading this all wrong, but how I am interpreting it at this point.