Been a while since I have checked in on the posts. Interesting. I have been a stock holder since 2004 and have not experienced anything positive from this company. Three of the original officers are gone as are all but one board member. It has been more hype than substance. Heartland was supposed to be Amex qualified and listed on that exchange by February of 2005.
Terry Lee came on board in 2007. In a phone conversation Terry told me I would be happy in 3 years. My original purchase price was $1 per share and at 1 cent a share you can tell I am not happy. I have been trying to find a way to get my money back for 9 years.
There have been many unfulfilled promises and questionable actions along the way. What I was told I was buying in Heartland was not remotely what I got.
In your research you will see that Terry Lee and Heartland already did a reverse split, from about 48 million shares to 24...after the reversal it traded at 60 cents but the stock went south..as it lost value Terry Lee acquired more stock for himself, his brother and his sons. Some of the board acquired shares at low prices as well. Heartland acquired one of Terry and his brother's companies for cash and stock. Heartland made the acquisition through funds borrowed I believe from a bank where Terry Lee is president. I think the company sold for a little over 3 million. So now, Terry and his brother get the money and get the company back if they are allowed to take the Heartland private. Wouldn't we all like to have that deal???
Terry Lee and family now control about 88% of the stock. They also bought out some of the former officers in a private deal that did not show up as shares traded. Purchasing that many shares would have driven the price up. Trent Summerville, former CEO and President of the board sold approximately 5 million shares. I was told by another former board member that Trent was treated fairly. Perhaps that is so because that would remove a roadblock to going private.
After Terry Lee came on board Heartland hired an experienced New York PR firm to help them get listed on the AMEX and as I was told at the time, met all the requirements to be listed except for trading over a certain dollar amount for 10 consecutive days. The firm supposedly had the experience to get Heartland there but it never happened. Terry Lee, I was told, did not want to actively promote the company to mutual funds, institutional investors or to anyone else by meeting with them and doing what was necessary to promote Heartland. Terry dropped the firm and when I inquired about it he told me they were not worth the money.
Shortly thereafter, at a board meeting, Terry announced his intentions to take Heartland private. At least one of the board members resigned because of that and the price of the stock has been in the basement ever since.
When Terry did a 1 for 2 reverse split the stock doubled as it was supposed to but then went into a free fall which further reduced the value of my shares. After period of time, Heartland authorized more shares and one day much to my surprise there were 56 or 58 million. I did not received any communication to ask me to vote to authorize additional shares and I have never been informed if I received more than double the shares I held. I have no idea. But increasing the number of shares further dilutes shares and I believe it has been by design.
The board of directors have never been elected to the best of my knowledge. They are all employees of Heartland companies. As a shareholder I have never voted on who sits on the board nor have I been given the opportunity to vote on the reverse split or authorizing additional shares. I have never voted on anything....
I do not believe Terry Lee has any of our best interests at heart. I have been around long enough to see enough to be able to make the statement. You may view the acquisition of additional convenience stores as a positive but what I see is while Heartland increases its value it also has taken on debt that will offset profits for years, showing little profit and therefore not increasing the value of the stock.
One of the posts I read suggests that the stock will be worth $1 or more. I wish that were true but can't see any way that will happen. I would encourage anyone who has been thinking of writing the governor of their state to do so or the Securities office.
A little over a year ago Heartland proposed a 1 for 2000 reverse split. It also was in the process of filing to take the company private. I wrote the SEC at that time.
Here is how I look/looked at it. Terry Lee is allowed to obliterate the number of outstanding shares of a stock (1 for 2000 reverse split) that has been driven into the ground and then can offer to buy us out at a penny on the dollar. You can sell or hang onto shares that will not trade nor will they increase in value once the company is private. The accounting practices, acquisitions etc. can affect the stock value forever while Terry and a chosen few profit immensely...Hmmm.
