Left Behind Games (fka LFBG)

[Farrago]

Yes, your number of shares would be reduced by 40%, but the PPS of those remaining shares would be INCREASED porportionally, i.e., if you had 10 shares at $2 for a total value of $20 and the company did a R/S 1:2, you'd "lose" 5 shares, but your remaining 5 would simultaneously jump in value to $4 so your total position would still be $20. No change in value, just in number of shares.