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Re: jimmowrey post# 11509

Thursday, 03/03/2011 12:23:52 PM

Thursday, March 03, 2011 12:23:52 PM

Post# of 52855
Good point Jim. If we would see $100 million in royalties, at the present share structure, the pps should be at .025 (minimum).

So why the descrepancy?

Why are we trading at .0001/.0002?

Why do we see a couple of instances where a block of 100 million shares trade suddenly in the afternoon at less than .0001?

Either the company is selling those shares to someone, or someone else is. Why would anyone sell off that many shares so they can pocket $7,500? If the shares should be worth .025, they are trading away something that should be worth over 2.5 Million dollars.

There's only three explanations:

1. Someone is crazy - nothing you can control if this is the case, but if the rest of the market (or even a few savvy investors or even the officers of GPRE) was in the least interested in picking up a stock that will return over 330X in value...we'd see the price shoot up on increased demand.

2. Company is diluting - if this is the case, we're heading for a RS and pretty much DOA.

3. Company is buying back stock - please, please, please let it be this one. But even if it was, others would get wind of this and be silently adding and we'd see the pps creep up somewhere, somehow. Again...a demand thing.

Because we are not seeing the pps edge up, I have to go back to the basics of economics - it's a supply and demand issue. There is increasing supply of shares more than there is an increasing demand of shares.

My heart wants to believe...my head is trying to seperate the facts from fiction...my gut is telling me something is wrong here (in spite of the other good news). I really want my gut to be proven wrong!