Replies to post #15166 on Universal Energy Corp (UVSE)

[mimurray]

That is common language that you see in all of these small companies quarterly reports. Or I should say, you see it in the ones that actually do report.

It's basically legalese "cover my ass" lingo. They have eliminated around 6 million dollars in debt already from the CD shares that have been converted leaving them with very little remaining debt.

It's inevitable that at some point in time the CD holders will convert their shares but IMO they will hold out for much higher prices than the current levels.

[mikeyk]

It's typical boilerplate for start up companies to put disclaimers into their filings until they can become self sustaiing, they need to include it for liability reasons and let investors/share holders/debt holders know that the company is still shoring up operations, it also keeps the debt holders from converting and killing a company that is growing revenues. Next quarter will include the Cavier Well Revenue and maybe even Lone Oak. They may need to raise capital to continue exploration and drilling, standard for a start up and needed for growth. The company is young and shows it can perform as incorporated. I wouldn't worry about it.