Replies to post #36118 on Electronic Cigarettes International Group Ltd fka

[Joseph Knecht]

If that benevolent interpretation was the actual reason for the preferred, why didn't they just state it plainly? Instead, they chose to use this language:

our Board of Directors will be authorized to issue the preferred stock without stockholder approval, except as may be required by applicable laws or rules. In connection with the issuance of the preferred stock, the Board would have the authority to designate and issue series of our preferred stock with dividend, liquidation, conversion, voting or other rights that could adversely affect the voting power or other rights of the holders of our Common Stock.

I find it difficult to read that and not find it disquieting.

[was CUIN2]

Then they should clarify/invoke the purpose of the preferred shares. They can specify the limitations to the preferred authority to gain investors support, if that is what they really desire. JMHO.