Replies to post #30310 on Nate's Food Company (NHMD)

[DCorleone]

The proof will be in the filing or not. Simple. A company like NHMD with losses and a a profit structure such as NHMD at a 10% variable will not be able to cover. The math and profit on sales won't work IMO. Grocery has jumped to 231/2% retail, Do the math even if you use existing numbers.
To me I would make a decision on whether dilution is more likely than not. As you cannot prove there has been none since the last filing.
but Nate said...

"It is anticipated that the raise of additional funds will principally be through the sales of our securities."

[Games-Ludus]

Proof of Dilution is not Hard to Find. It took me about 3 minutes to go to the latest NHMD 10Q to find that the company's shares have been and are being diluted. It would be more helpful to investors due diligence (DD) if those denying dilution would take a minute and look for themselves and set the record straight. Investors would be better off fighting naysayers by using the truth rather than lies. Whether there is share dilution is not up for debate. See numbers taken directly from the company's 10Q, which can be easily found under Yahoo Finance-SEC filings for the company.

From 11/10/14 10Q - Outstanding as of November 10, 2014 - 61,800,000
From 01/20/15 10Q - Outstanding as of January 20, 2015 - 71,300,000 shares
From 04/14/15 10Q - Outstanding as of April 14, 2015 - 77,250,000 shares

The number of shares increased so far is 15,450,000 shares or a 25% increase, and this does not include the preferred shares that have been issued that can be converted for millions more shares.

And the bulk of shares have gone to Wade and his pals. Nate has agreed to split all of the profits of squirt pancakes with Wade and 1PM in addition to giving Wade 25% of NHMD through massive share dilution.

This is directly from the March 10Q. Investors should take a minute and look:

"Note 4 – Equity Transaction

The Company issued 15,000,000 shares of Common Stock and booked an expense related to this stock issuance of $857,000 that represented the fair value of the stock issued. The stock was issued to WB Partners for consulting services rendered to the Company.

The Company issued 26,394 shares of its Series C Preferred Stock in exchange for $27,000 in cash that was used for food development and research and working capital. The Preferred Stock can be converted to common stock, at a conversion rate of 66 common shares for each preferred stock. The Company evaluated the conversion feature and concluded that it did not qualify as a derivative transaction. The Company evaluated the convertible preferred stock under FASB ACS 470-20-30 and determined it contained a beneficial conversion feature. The intrinsic value of the beneficial conversion feature was determined to be $27,000. The beneficial conversion feature was fully amortized and recorded as a deemed dividend."