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Re: aries4747 post# 21410

Tuesday, 01/04/2011 1:34:42 PM

Tuesday, January 04, 2011 1:34:42 PM

Post# of 29028
Thanks, aries4747. That's why sperber would hold the preferred shares going into the rs rather than converting to common before the rs. 600,000 shares @ $.0011ish vs 600,000 shares @ $.055ish {about a $35,000 bonus for sperber's stellar performance...unless there is a post-split run up to 10-20 cents, where he can net $60-120K}...preferreds are not affected by any splits.

Unless otherwise set forth by the Board of Directors, the Conversion Ratio shall not be affected by a stock dividend or subdivision (stock split) on the Common Stock of the Corporation, or a stock combination (reverse stock split) or stock consolidation by reclassification of the Common Stock. However, once the Convertible Preferred Stock has been converted to Common Stock, it shall be subject to all corporate actions that affect or modify the common stock.

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