Replies to post #83996 on Electronic Cigarettes International Group Ltd fka

[SeanBoy]

Where do you read that the convertible debt holders are now senior

I just meant that they weren't subordinate anymore.

Would be disastrous for the little guy if those warrants move to $.16 and it would all be over for the little guy if they give more warrants to keep the $ value of the warrants the same.

The little guy wasn't at the table, he was expendable. Dan is trying to save a company and Dick is trying to recoup from a bad business decision.

Dick already has the majority of the equity of the company in a buyout.

Dick would not have done well in any scenario with 45 cent warrants.

It's a benefit to him to get cheaper warrants because it increases his upside but it also creates new risks, new barriers for future investors, and new suppression of the stock price/financial brand to investors.

Survival is the order of the day, they'll worry about future investors later. If they have revenue, all will be forgiven. The only thing that this does is pretty much guarantee a future R/S.

All in all, they did about as good as could be hoped. I didn't see the stock sale in lieu of interest coming. It was a good move!