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John Bates

03/30/06 4:12 PM

#39277 RE: abh3vt #39275


abh3vt.. Theoretically, you're probably right about stock dividends. In practice, they seem to work though. I remember
GORX doing one a few years ago that everyone criticized at the time, but it had a huge positive effect on the stock. I'm not sure, but I think TSTA may have done one last season.
So, I see your point, but I'm really not adverse to the move.


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curlews

03/30/06 4:26 PM

#39280 RE: abh3vt #39275

Abh, yes, the fully diluted share count will rise by 20%, but I'll have 20% more shares, so my share of the company and its earnings is unchanged. This is not a matter of dilution similar to the issue of new company stock or options or warrants.
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nsomniyak

03/30/06 7:46 PM

#39297 RE: abh3vt #39275

Agree. stock dividends stink.

All they do is give holders of restricted shares some liquid shares to dump.

Boo.