Laidlaw Energy Group, Inc.(fka LLEG)

[TenKay]

Need to sharpen those math skills.

My math skills are just fine thanks. As the updated website clearly states, LEGG insiders OWN 70% of the total equity in the company on a fully diluted basis through a combination of convertible preferred stock (60%) and common shares (and options) another 10% of the total equity. 60+10=70. If you take the total o/s shares of about 2.4 Billion and subtract the insider’s common share ownership and options…you are left with about 2.2 Billion give or take. That 2.2 Billion owns the remaining 100%-70%=30%. Can’t cut the pie any other way.

The only problem is we don’t know the conversion factor…but we have a clue…when the Capitalization was updated on the website to come up with the 70% (actually the 60% preferred stock component), I am betting that they used the 0.0052 per common share it closed on 6/6/11. I don't see how they could have used a higher number (which they would want to do) to keep the shock factor down.

Now here is the kicker, if the conversion is dollar for dollar then that 30% is probably now somewhere between 8-15% and will drop further if the stock does. I don’t think it was planned to happen that way…but the suspension threw a major monkey wrench into it.

That is why I got out.