North Bay Resources Inc (NBRI)

[Huggy Bear]

The remaining amount currently outstanding on the Note, including accrued interest and the aforementioned OID, is now $152,169.50, of which $29,162 remains eligible for conversion pursuant to Rule 144, $57,750 becomes eligible for conversion pursuant to Rule 144 on October 24, 2013, $35,595 becomes eligible for conversion pursuant to Rule 144 on December 4, 2013, and $29,662.50 becomes eligible for conversion pursuant to Rule 144 on December 27, 2013. Due to the variable conversion price mechanism, the number of shares to be issued in any future conversion is inversely proportional to the Registrant's closing share price over a 25 trading day period, such that relative to the Registrant’s current share price a lower share price will result in a greater number of shares being issued, while conversely a higher share price will result in fewer shares being issued (up to a maximum of $0.10 per share upon conversion, as per the terms of the Note).


JMJ is an “accredited investor” as defined under Rule 501 of Regulation D. The Company believes that this transaction is exempt from registration with the Securities and Exchange Commission pursuant to Section 4(2) of the Securities Act of 1933, as amended.

http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=9468256

65,257.50 in convertible debt comes due in December 2013. Now how many shares will that be?

Two new convertible debt financing notes engaged on October 1 and the 7th 2013. Those come free in six months.

Why is not NBRI drawing from the highly touted new S-1 form of financing instead of engaging in more convertible debt notes? I suppose the terms of the new S-1 financing are even more destructive than convertible debt arrangements?