InvestorsHub Logo

downregul8

11/07/06 11:50 PM

#41782 RE: david02835 #41760

David – this is not something they would have to keep off of their books. They would just have to cosign to the secure the loan - it would still be tied to cygx. I was actually serious when I said that this would represent a relatively low risk to them because the land and building are tangible assets that should have a resale value. What’s the chance that it would drop by more than 30% over the next couple years to where they would actually have an out of pocket expense if the whole thing went belly up? And if the place did go belly who should be accountable and maybe have to return some of the current windfall? There’s no question cosigning would demonstrate confidence – and quite possibly raise the price as you suggest – yielding better returns on future PPOs thereby further reducing dilution.