Replies to post #192464 on Dewmar International BMC Inc (DEWM)

[Det_Robert_Thorne]

I don't think Moran was buying open-market shares

If he his buying back shares and retiring them, then all the more reason to keep his mouth shut and buy the shares up while the pps hasn't corrected itself yet!

If you look at DEWM's filings over the past few years, Moran has been fairly consistent in reporting roughly 2.43B outstanding shares, as in this 8-K from September, 2015:

https://www.sec.gov/Archives/edgar/data/1269879/000139390515000501/dewm_8k.htm

Yet sometimes in reports covering similar periods, he would show a larger OS, such as in the 10-K covering 2013, which was issued in August, 2015 -- a month before the 8-K I referenced above. In that report, he stated the OS as of August 7, 2015, was nearly 2.7B shares (see the first page):

https://www.sec.gov/Archives/edgar/data/1269879/000139390515000387/dewm_10k.htm

I believe that the reason for this difference was that most of those share comprising that 300M - 400M shares were restricted shares that had been awarded to DEWM principals, service providers, or others, which never became unrestricted under SEC Rule 144.

Therefore, when Moran bought back these shares, he didn't do it in the open market, but through private arrangements between these shareholders and the company.

There is likely nothing wrong with this, and technically, it is a buyback, but again, it's not an open-market buyback, and I doubt that there is going to be an open market purchase and retirement of shares anytime soon.