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stockseekerok

08/30/08 10:15 PM

#49173 RE: WhatDoesItAllMean #49171

'WhatDoesItAllMean' - Your reply to my post makes no sense to me. I can find nowhere that I impled that a restriction had anything to do with dillution.

Believe me , I understand why the divvy company requires a restriction and so does Mr Otter.

What you stated in your post is exactly why the divvy shares will carry at least a 2 year restriction I believe.

RE:
You must be misquoting because a restriction has nothing to do with dillution, it has to do with everyone selling at the same time and driving the price down. An increase in the float causes dillution because you have earnings or loss divided by a greater amount of shares...Accounting 101.

But Actually a restriction has a lot to do with dillution, It prevents it in the near term.
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bob41

08/30/08 10:23 PM

#49174 RE: WhatDoesItAllMean #49171

An increase in the float causes dillution because you have earnings or loss divided by a greater amount of shares...Accounting 101.

That would be wrong. The O/S (including Restricted Issuance) is what is used (not Float) in that calculation (EPS). Dilution has an effect on all shareholders, that's if there are any earnings (or assets). It's a moot point with FFGO.

Accounting 1.