Veltex Corporation (VLXC)

[GratziPrego]

Pual, we Agree with you about it being "Pure Speculation" because we have no idea. But it was just for the sake of running a "What If" scenario combined with Conservative Estimate.

Anyone here that wishes to express "What could happen" should make sure that they should understand that If a Theft Loss is determined, the Amount of Actual Savings is in a Form of Tax Savings. For example, a $100 Theft Loss is NOT a $100 Straight Gain, because it is just the amount that the Company, or any Company that wishes to Acquire Veltex, can use to Offset Income. Therefore, the Tax Bracket % times the Theft Loss Amount is the Actual Benefit from the situation (Also, don't forget that the Attorneys, if working on Contingency Basis get a Major Percentage of it too, probably 40% or so, right?)

Here is just a Brief Illustration of Possible Scenario:


For example, IF $100 Theft Loss THEN 40% goes to Attorneys, So it's then a $60 Theft Loss after 40% Attorney Contingency Fee, then we multiply it by the Tax Rate to see what Tax Savings would be. IF Tax Bracket is 15%, THEN $60 x 15% = $9.0 Actual Gain, which would be what is actually gained by the $100 amount after Attorney Fees, with a 15% Tax Bracket.

So, we can see that the Actual Gain ($9.00 in the above scenario) for the Company can be estimated about 9 to 10% of whatever the Theft Loss Determinations (i.e. IF $30 Million Determination THEN $3 Million Actual Benefit to Company After Attorney Fees and Tax Bracket Consideration)

DISCLAIMER: The above explanation is an attempt to Conservatively Estimate any Possible Final Actual Gain to the Company from Theft Loss Determination and is composed of Hypothetical Figures. The Tax Regulations as far as Tax Bracket and Deduction Treatment is Hypothetical also - Please Consult a Tax Professional to verify the implications of Theft Loss.