Replies to post #73874 on NeoMedia Technologies, Inc (NEOM)

[brewskih]

They committed more shares then they were authorized to commit and you dont see that as harmful to shareholders. In essence they tied the shareholders hands, and literally forced them to vote yes on the increase in shares, because to vote no would be more harmful to the shareholders, if NEOM was forced to default. So in either situation the shareholder gets the short end of the stick. Either they vote down the increase and it costs millions to the shareholders for the default, or they vote yes to avoid the default and are stuck with the increased dilution. How are either of these beneficial to the shareholder?

And why didnt they have a proposal where 2 billion could be authorized instead of 5 billion? 2 Billion was more then enough to cover their shortfall, pluss leave them around 700 million left over for future acquisitions etc. Now you are stuck approving the 5 million or none and either case is a lose for the shareholder.

[elliot1234]

I agree. We have to be confident in NEOMs management. They have accomplished wonderful things so far and the best is yet to come.

As far as stock options are concerned: I WANT MANAGEMENT TO HAVE LOADS OF OPTIONS SO THEY CAN ALL BECOME MULTI-MILLIONAIRES---and us with them!

Howard

[10thMountain]

Sure, they have their game plan in place, but imo, they've realized that they can't afford it. Maybe they were just a little over zealous with that recent shopping spree. Don't ya thinK? After all, Jim Cramer always says to be leary of companies that go crazy aquiring too many companies at once. He says it's a sign of poor management, and it almost ALWAYS adversely affects the share price. Hmmmm. Imagine that!

This is a damned if you do, damned if you don't situation, imo. If you vote 'yes', you're saying "sure, go ahead and authorize all those shares, and potentially dilute the share price even more than you already have." And, if you vote 'no', you could be putting the company into default.

A very sad situation here. Not at all what I axpected, and I'm ashamed that I recommended this stock to so many people. Hopefully I will be proven wrong, but I'm not so sure I will be.