The day before yesterday I tried to call to speak again with the CEO of RWNW. Unfortunately, I was not successful this time. Fortunately, I made a few more phone calls from furthering DD-ing some other phone numbers and had a very interesting conversation with one of the affiliated attorneys.
He was very very conservative in all of his responses he shared with me. Here are some key notes I gathered from our discussion.
* The company must file its 10Q before 14 Nov 05 to meet the filing deadline and to keep the SEC off of their backs for not meeting their reporting timelines and for completion of some kind of due diligence time frame. I did not ask for more details so I do not know more of those details.
* The numbers for revenues and profits are correct from what Recab is giving them to file in their upcoming audited financials. The numbers appear to be too good to be true to them too.
* The profits are still being discussed and further verified. He gave me a number higher than the $25 Million number for profit than what was in the PR that is supposed to be filed. He did tell me again that those numbers seem rather too good to be true. He told me that they have done mergers in the past that actually had generated the amazing numbers they were told and that they have done some mergers that when all was said and done, they did not have the amazing numbers that were initially given to them.
* There is a team of accountants and attorneys that are currently verifying the conversion of the Saudi Arabia Riyal into the American Dollar of financial information to be put in the 10Q, 8K, and/or etc. Once done, it will be immediately filed with the SEC.
* The attorney I spoke with on the legal team would rather like to see an 8K filed first to reflect the revenues and profits and then file the 10Q.
* Other attorneys and accountants want to file everything from all of the merging companies in one 10Q. Either way, all of it would be done before 14 Nov 05. So I guess it could still go either way until the audited financials come out before 14 Nov 05 for final confirmation.
* The 14c will be filed after the 10Q giving us the new name and the reverse split ratio.
* The attorney I spoke with first said that he believed that the reverse merger/split ratio was going to be about 1 to 200, but he was not sure just yet as they had not officially sat down to come up with the ratio.
* I asked if the ratio was going to be 1 to 10. He said that he felt that the ratio for some reason was going to be higher than 1 to 10, but that shareholders today still should do very well if they numbers that they are verifying turns out to be true from the merger. He said that he can’t say the same for those shareholders that had bought into RWNW many months ago back when it was at much much higher prices.
* He did inform me that the team has not sat down to officially derive what the exact ratio for the reverse split would be, but that they will soon. However, after I explained to him logically as to how I derived the ratio to be 1 to 10, he did tell me that my math was correct from how he now sees it. Heck, hopefully he explains it to his team the way I explained it to him.
Majordan44, please understand. By all means I am not saying that RWNW is legit or not because please, I do not know as it appears that the ones that are making this happen legally are still completing their due diligence along the way while they are generating the filings to come out. If you need phone numbers to the CEO in Saudi Arabia and to the attorney that I had spoken to here in the US, email me. I will give it to you after I talk with them again to see if it is ok for me to do so. Heck, then you can call and see what they tell you.
I expect a regular increase in price daily as we near 14 Nov 05. Maybe even a huge increase and price stabilization if someone internal knows for the profits reporting to be true. Or maybe they have already bought in from judging from some of the previous volume considering they wouldn’t want to raise any red flags during this current due diligence period that they are going through with the SEC. The volume must not look like any kind of insider manipulation has been transpiring. Maybe that’s really why the S-8 was issued to mask such. To help to keep the price suppressed from any kind of major spikes. That’s another theory though that I don’t have all of my thoughts organized for explaining.
To answer a question from someone who called me, keep in mind too that in one of their previous PRs they stated $25 Million in “profits” which is the same as Income. Know too that “Revenue – Expenses = Income” so when they stated the $25 Million as “profits” and not “revenues” I would have to assume that they know the difference because of the lawyers and accountants they have involved and because of how in some of their other PRs they stated “revenues” when they deemed appropriate.
Majordan44, again, please I recommend that everyone do their own DD and to not rely solely upon everything that I am posting because I have no idea what is fact or fiction. I say this because I have been through this many times and when things turn out to be good, everyone is happy. When things turn out to be bad, then all of a sudden I was part of the bad guys. As with any stock that I post on, I am simply a shareholder just like you who is sharing and looking for DD.
I personally do believe that RWNW is real and the merger will be something awesome for us little guys, but it’s up to the company to prove me to be correct.
All is well!
http://www.sterlingsclass.com/
Sterling
From another board.
He was very very conservative in all of his responses he shared with me. Here are some key notes I gathered from our discussion.
* The company must file its 10Q before 14 Nov 05 to meet the filing deadline and to keep the SEC off of their backs for not meeting their reporting timelines and for completion of some kind of due diligence time frame. I did not ask for more details so I do not know more of those details.
* The numbers for revenues and profits are correct from what Recab is giving them to file in their upcoming audited financials. The numbers appear to be too good to be true to them too.
* The profits are still being discussed and further verified. He gave me a number higher than the $25 Million number for profit than what was in the PR that is supposed to be filed. He did tell me again that those numbers seem rather too good to be true. He told me that they have done mergers in the past that actually had generated the amazing numbers they were told and that they have done some mergers that when all was said and done, they did not have the amazing numbers that were initially given to them.
* There is a team of accountants and attorneys that are currently verifying the conversion of the Saudi Arabia Riyal into the American Dollar of financial information to be put in the 10Q, 8K, and/or etc. Once done, it will be immediately filed with the SEC.
* The attorney I spoke with on the legal team would rather like to see an 8K filed first to reflect the revenues and profits and then file the 10Q.
* Other attorneys and accountants want to file everything from all of the merging companies in one 10Q. Either way, all of it would be done before 14 Nov 05. So I guess it could still go either way until the audited financials come out before 14 Nov 05 for final confirmation.
* The 14c will be filed after the 10Q giving us the new name and the reverse split ratio.
* The attorney I spoke with first said that he believed that the reverse merger/split ratio was going to be about 1 to 200, but he was not sure just yet as they had not officially sat down to come up with the ratio.
* I asked if the ratio was going to be 1 to 10. He said that he felt that the ratio for some reason was going to be higher than 1 to 10, but that shareholders today still should do very well if they numbers that they are verifying turns out to be true from the merger. He said that he can’t say the same for those shareholders that had bought into RWNW many months ago back when it was at much much higher prices.
* He did inform me that the team has not sat down to officially derive what the exact ratio for the reverse split would be, but that they will soon. However, after I explained to him logically as to how I derived the ratio to be 1 to 10, he did tell me that my math was correct from how he now sees it. Heck, hopefully he explains it to his team the way I explained it to him.
Majordan44, please understand. By all means I am not saying that RWNW is legit or not because please, I do not know as it appears that the ones that are making this happen legally are still completing their due diligence along the way while they are generating the filings to come out. If you need phone numbers to the CEO in Saudi Arabia and to the attorney that I had spoken to here in the US, email me. I will give it to you after I talk with them again to see if it is ok for me to do so. Heck, then you can call and see what they tell you.
I expect a regular increase in price daily as we near 14 Nov 05. Maybe even a huge increase and price stabilization if someone internal knows for the profits reporting to be true. Or maybe they have already bought in from judging from some of the previous volume considering they wouldn’t want to raise any red flags during this current due diligence period that they are going through with the SEC. The volume must not look like any kind of insider manipulation has been transpiring. Maybe that’s really why the S-8 was issued to mask such. To help to keep the price suppressed from any kind of major spikes. That’s another theory though that I don’t have all of my thoughts organized for explaining.
To answer a question from someone who called me, keep in mind too that in one of their previous PRs they stated $25 Million in “profits” which is the same as Income. Know too that “Revenue – Expenses = Income” so when they stated the $25 Million as “profits” and not “revenues” I would have to assume that they know the difference because of the lawyers and accountants they have involved and because of how in some of their other PRs they stated “revenues” when they deemed appropriate.
Majordan44, again, please I recommend that everyone do their own DD and to not rely solely upon everything that I am posting because I have no idea what is fact or fiction. I say this because I have been through this many times and when things turn out to be good, everyone is happy. When things turn out to be bad, then all of a sudden I was part of the bad guys. As with any stock that I post on, I am simply a shareholder just like you who is sharing and looking for DD.
I personally do believe that RWNW is real and the merger will be something awesome for us little guys, but it’s up to the company to prove me to be correct.
All is well!
http://www.sterlingsclass.com/
Sterling
From another board.
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