Replies to post #66068 on Auto Parts 4Less Group Inc (FLES)

[Justjoe1979]

Nope I am fully loaded to the maximum I am willing to risk on this.

I think there are noteholders and some retail who are scared of the note maturing today. I think those .16s were sitting at .20 something earlier and they are trying to get someone to bite.

I have gone through the last 10 years of filings with the previous ticker symbol. Larry Glenn has been an investor in med-careers for at least 10 years and has rarely converted any of his notes to shares.
On top of that there is a clause in his note that states he cannot convert to own more than 9.9% of the OS. So at most if he holds 0 shares today he can convert 56K shares.

He also has the interest rate set at 15% that he collects monthly. He has been collecting at least $75K a year in interest for several years. Why convert that cash cow?


The following is old but one of several instances where he agreed to interest payments monthly.

The note bears interest at 12%, with the Company paying the Holder interest only commencing on December 1, 2011 and continuing on the first day (1st) day of each month thereafter through and including November 1, 2011, the Maturity Date, which final payment shall include all principal and accrued interest.

pg 26.

https://www.sec.gov/Archives/edgar/data/1438901/000116169718000271/form_10-k.htm

Historically all of his notes have been replaced with new ones and the maturity date extended. Iam assuming the same will happen to this one.

Issuance of replacement notes

On April 25, 2018, the Company entered into replacement notes with 4 existing note holders including Larry Glenn, Jr., Charles Hickle, Dynacap Global Capital Fund II, LP., and Phenix Suites, LLC. The new notes combined the principle amounts of each of their existing notes along with each note’s accrued interest, extended the maturity dates to April 24, 2020 with an interest rate per annum of 15%.

Pg F-15

https://www.sec.gov/Archives/edgar/data/1438901/000116169718000525/form_10-k.htm


This is where he agreed at one point to not own more than 9.9% of the OS

The Company and Mr. Glenn previously entered into an agreement in April 2013, effective in December 2011, limiting Mr. Glenn’s ability to convert the convertible notes he holds and exercise the warrant he holds if such conversion/exercise would result in him owning more than 9.99% of the Company’s outstanding shares of common stock.

pg32

https://www.sec.gov/Archives/edgar/data/1438901/000112178114000128/mci10k13114.htm

I don't know if this agreement is still in effect has been renewed or canceled, but Mr. Glenn has more than made his money back over the years in interest payments.

Hopefully a lot of questions will be answered once the financials are filed and the up list is complete if approved.

[NewTrader2017]

These idiots thought once they go public they can sell every month one million dollars of shares. that’s what they started .
And they released financials same day of note conversations backed by PRs , and we kept buying. From 2 dollars to .0001 .

Imagine the horror ! And more to come .