Pervasip Corp (PVSP)

[Arthur]

The G3 Connect repurchase didn't get rid of $400K of convertible debentures: G3 Connect nows owns a $400K converible debenture, that will convert on the basis of $0.006 a share.

It will cause dilution, but G3 say they will NOT dump the shares on the market for a whole year.

Much unlike the rest of the Convertible Debentures, that get converted at 45% of the going price, and get dumped on the market every trading day.

The CD impact on the market is way worse than anything short-sellers could ever do.

PVSP had $1.5M (one and a half million dollars) worth of convertible debentures outstanding last quarter. Even after you remove $400K of that total( about 66 million shares), that's still an awful lots of shares waiting to be dumped on the market.