Replies to post #1881 on Umax Group Corp. (UMAX)

[stervc]

Why no UMAX reverse split is coming...

UMAX is not going to do a reverse split in my opinion. Too much has transpired with the company creating preferred structures of shares to justify growing the company without the need to do a reverse split. When a company decides to use shares as leverage to grow its operations and there isn't enough existing in the Treasury of Authorized Shares (AS) to justify the use of the Outstanding Shares (OS) already existing to support operational growth, then the company decides to do either... Option A or Option B below:

Option A - Do a reverse split to reduce the amount of Outstanding Shares (OS) existing to increase the inventory available within the OS being to use as leverage to grow your operations.

or...

Option B - Increase the Authorized Shares (AS) to increase the existing inventory available to now be used within the OS to use as leverage to grow your operations.

Here with UMAX... they chose... Option B.

With this increase, UMAX has a solid OS. This is why the increased the AS to 1,850,000,000 shares a little while back as confirmed below:
http://nvsos.gov/sosentitysearch/corpActions.aspx?lx8nvq=7Vve3gfoY%252byYuLu20QuStw%253d%253d&CorpName=UMAX+GROUP+CORP

This is basically one of the thoughts they were trying to explain within their PR released below:
http://www.otcmarkets.com/otciq/ajax/showNewsReleaseDocumentById.pdf?id=17396

There is a greater thought that I will explain after I determine how I need to explain this to where I think it would be understood to add more clarity and not confusion.

v/r
Sterling