Lecere Corporation (fka LCRE)

[Dontral]

There has been allot of confusion over this particular press release.

The PR stated that Lecere reduced the outstanding share count by 50%, while technically this is true it was done in such a way that there wasn't any real benefit to shareholders.

Management was holding 10 billion common shares (what you and I purchase). The outstanding share count was close to the authorized max of 25 billion (I think it was 21 billion or so at the time) so something had to be done in order to free up shares for 504 purchases. These purchases are necessary to operate the business since Lecere does not have a real revenue stream as of yet.

Basically management exchanged their 10 billion common shares for preferred shares, freeing up 10 billion in the outstanding share count. The reason there isn't any real benefit to current shareholders is because although the O/S was reduced the maximum authorized share count (A/S) was not reduced at the same time.

Essentially there are 10 billion more shares available to sell if necessary to raise capital.

Someone should sticky an explanation of this since I think I have explained this 4-5 times already. Although I do have to wonder why others aren't helping keep the facts straight when questions like this come up.