I am disappointed to hear that a reverse split is in the cards. But I must confess that it is not unexpected. A Billion plus shares is not good for our capital structure. I think it is important to consider that if a r/s at TDCP occurs it does not follow it will occur at this price level–at .02 or thereabouts. A split of 35 to 1 at .02 does not even get to stock to $1.00 per share. Such a r/s has little or no value to the company or to new investors. I think there is a decent chance the stock could be selling at .15+ or higher by the time of the r/s. Here’s why. It is not unusual for companies to combine a r/s with some good news shortly before the split. Apparently, TDCP is on the cusp of going commercial [the incorporation move from Oklahoma to Nevada suggests this.] There are any number of news events that could propel the stock price much higher prior to the r/s– a deal with Boeing, or with a gaming company, or a FDA submission, etc. etc. A stock price say of .10 with a r/s of 35 to one would benefit TDCP as an investment stock to new investors. Thus, it is not a forgone conclusion that those who bought TDCP in the last 6 months or so will get burned by the r/s. If the stock goes up anywhere near the numbers I discussed, I will most likely execute a bifurcation strategy. Depending on the quality of the news, I will sell a certain percentage of stock and hold the balance through the r/s process. Generally, stocks go down after a r/s. Unfortunately or fortunately depending on how you look at it, it is not certain that this will happen to TDCP. TDCP is on the cutting edge of new technology. The stock may not go down that much after the r/s. If TDCP was an established stock with an established product on the market, we could expect the stock price to fall 50%+after the r/s. That may not happen. Thus, I will keep enough shares in TDCP through the r/s in order to share in the wealth the company will generate in future years. I will know a lot more after the October 15th meeting concerning how many shares to hold and sell at that time. If anyone is going to the meeting, if you are willing, please let the iHUD board know. There are some off the record questions I would like you to ask–if permitted.
