Replies to post #1647 on Indoor Harvest Corp (INQD)

[TenKay]

"First off, retiring, or returning to treasury is the exact same thing. How does one return shares to treasury without retiring them? Not sure I follow your logic."

It is not the same thing. I am surprised you don't understand that. Returned shares to the treasury maintain there value and place on the balance sheet. They can be re-issued by the company. They only thing that can't happen is they can't be voted by the company.

Shares that are then "retired" from the treasury go away completely. The OS is reduced and the shares cannot be re-issued.

So the question stands...will the shares only be returned to the treasury and held as treasury stock or will they also be retired?

[piperdog]

Chad, as far as I know there is a difference.


It's important to point out that treasury shares still have value, and are listed on the company's balance sheet. This is one of the key differences between treasury and retired shares.

Retired shares
Sometimes when a company buys back shares of its own stock, it doesn't have the desire to hang on to them. In this case, the company can choose to cancel, or retire the shares according to SEC regulations. Once shares are retired, they cannot be reissued, and no longer have any financial value nor do they represent any ownership in the company.

Similarities
Treasury shares and retired shares have a few things in common. Most notably, neither type is included when calculating the company's number of outstanding shares. Also, treasury and retired shares don't receive dividend payments, and no longer have any voting rights or ownership.

Seems like your up to speed on the voting rights issue, lol.