I have not posted here in a long time and find it interesting that people still deny the short position. I guess even when there is real proof some people just can not believe their eyes. I remember when I argued that we have a large trust deposit on our books in relation to the first deal and all the so called accountants here said I was wrong. Guess what they were wrong and the recent financials prepared by an accounted supported this. The majority of that trust has now been converted to cash. I guess some people forgot that! These same people deny the existance of a short position and are still trying to get people to believe there is no short position of sized with MDMN. Once again the facts prove otherwise by the Registrar at the SHM counting over a billion shares voted at that meeting, when there are only 711 million outstanding. This btw this only represents the 400 people at the meeting out of 7000 shareholders and those voting by proxy. Talk to American Registrar & Transfer Company our agent that did the counting and they will verified that number. Now if you extrapolate this number you can easily see there could be at least 2-3 billion shares short, but that is my opinion based on some mathematical sampling.
On the subject of the 10% stock dividend, most are right that it accomplishes very little by itself. But if it is combined and timed properly with an announcement lifting the NDA and receipt of the initial cash payment, the benefits are huge. First MDMN which is so tightly held should be trading with at least 10-20 million shares per day and our average is close to 3-5 million. People just do not want to sell their holding. Now you have an extra 10% which appear as free shares you just injected more liquidity into the market by people selling their common share and covering those sales with restricted shares that will be held for 6 months. This happens because people can sell 10% of there holding and they still will be holding the same number of shares down the road. Most investor will wait for after April 2nd before they sell any on their holding just to make sure they get their 10% dividend. All this puts the shorts into a big dilemma. They are forced to short more to cover the dividend shares and they have to short more to hold the lid on the stock price due to the announcement and the increase buying interest. This become a double whammy to the shorts. Some brokerage firms are already feeling the pressure. For instance TDA which makes a market in MDMN routes its transaction to Etrade. Why are they doing this instead of creating more air shares is very obvious they do not what to increase their exposure. All this is great for the longs, but rather meaningless unless MDMN delivers the goods. Once they do the MM will realize they can't bankrupt this company since it will no longer depend on issuing shares to stay alive. Rather they will be generating positive cash flow with the possibility of future cash dividends, which would be the final nail in the shorts coffin. So please do not tell people there is no short position of size in MDMN because we have official proof. Thank you and I will now disappear again until we have our major announcement.
