Replies to post #37877 on Value Microcaps Motherboard

[lentinman]

Cliff: SLGD:

I can't (and don't) believe that the CEO did not know the numbers (or close enough) in early February for the 4th quarter.

He makes $400,000 a year and has 400,000 shares. So, he goes out and buys 10,000 shares at $.975. He had to know he was going to take a hit on them, so why buy them?

Well, first of all, his loss is only on paper and it is only $2,500. Big deal.

Secondly, he may have hoped it would cause the price to spike up so that someone he knows could sell before the bottom fell out. Who knows?

Thirdly, he may have some sort of deal set up whereby he had to buy the shares. I see that two other directors also bought 10,000 shares prior to him.

In any event, if a CEO doesn't know enough about the 4th quarter on February 7th so that he believes the numbers are going to be good enough to buy stock, but yet they are terrible, then he's the worst CEO in history IMO.

Len