Thursday, October 20, 2011 2:07:33 PM
INSOLVENCY. Another perspective and new light.
Let's say you trade around $2.00/share and 2 years later you're at $.01. Let's also assume your average on the short is $0.65 (don't ask, it is). That would be what? $11.7M (on average, could be More/Less).
Now, you still have to pay Taxes on all that profit right. WRONG! If you can bankrupt the company and make then insolvent, then you owe NOTHING! That's right, you owe nothing on short sales that end in a company going insolvent.
So, you say there are no short positions in NXOI, perhaps, but imagine if there were? Isn't this the perfect scenario?
I believe what we are seeing here is that certain "shorters" are trying to depress NXOI so much that they are basically insolvent. Can't repay loans, can't continue paying licensing fee's, can't pay salaries!
I believe we are seeing the perfect storm for current shareholders. NXOI WILL be making money, it just won't be realized until we see, probably Q1 2012, but maybe Q4 2011. That gives the shorter enough time to do his work.
@$.0127 what do they have to loose? $5000? seriously, even if you cover 99% of that in a day, they could drive this down to sub zero's in no time. i believe this is the reason behind the aggressive "promo" campaigns by NXOI.
In the end, I believe NXOI (from what I know) is out of that "equity/debt" dilemma and is now poised to show profiting in the coming months. Yes. If the VOD doesn't work out, then yes, we have loser, but seriously - That isn't the case and you know it.
I personally am calling the bluff and investing heavily in NXOI. If they can preserve capital and pay what needs paid in the next 6 months, then boy oh boy, will this be a fun ride. Perhaps the mother of all SQUEEZES. Of course they have to perform first and I think that shows up on the 2012 Q1 and I'm betting the shorters are betting that when you see the Q3 2011 you'll be running for the door.
Let's say you trade around $2.00/share and 2 years later you're at $.01. Let's also assume your average on the short is $0.65 (don't ask, it is). That would be what? $11.7M (on average, could be More/Less).
Now, you still have to pay Taxes on all that profit right. WRONG! If you can bankrupt the company and make then insolvent, then you owe NOTHING! That's right, you owe nothing on short sales that end in a company going insolvent.
So, you say there are no short positions in NXOI, perhaps, but imagine if there were? Isn't this the perfect scenario?
I believe what we are seeing here is that certain "shorters" are trying to depress NXOI so much that they are basically insolvent. Can't repay loans, can't continue paying licensing fee's, can't pay salaries!
I believe we are seeing the perfect storm for current shareholders. NXOI WILL be making money, it just won't be realized until we see, probably Q1 2012, but maybe Q4 2011. That gives the shorter enough time to do his work.
@$.0127 what do they have to loose? $5000? seriously, even if you cover 99% of that in a day, they could drive this down to sub zero's in no time. i believe this is the reason behind the aggressive "promo" campaigns by NXOI.
In the end, I believe NXOI (from what I know) is out of that "equity/debt" dilemma and is now poised to show profiting in the coming months. Yes. If the VOD doesn't work out, then yes, we have loser, but seriously - That isn't the case and you know it.
I personally am calling the bluff and investing heavily in NXOI. If they can preserve capital and pay what needs paid in the next 6 months, then boy oh boy, will this be a fun ride. Perhaps the mother of all SQUEEZES. Of course they have to perform first and I think that shows up on the 2012 Q1 and I'm betting the shorters are betting that when you see the Q3 2011 you'll be running for the door.
I wouldn't ever set out to hurt anyone deliberately unless it was, you know, important - like a league game or something.
Dick Butkus
