Replies to post #100351 on Cartel Blue Inc (CRTL)

[JC$]

That would make me think the Split would not occur until those are converted. BWDIK.

[pitadog]

Exactly penn, guess I didn't write the post very well. :-)

The fact is the divys are in preferred share form and not common at this time. My dd suggests that will happen about April 8, 2009 (1 year restriction)

Some have suggested that Carnes (he owns the majority of shares, has shorted against the preferreds. I don't see how this could happen, even using an off shore broker.

As we know, to short a stock, one borrows it from a broker and sells it hoping the stock pps will decline and he buys it back for less money and pays the broker commission for borrowing and produces the stock back to the broker.

If you try to short the preferreds, the broker still has to produce the shares to the market and ultimately (within days) to the DTCC. Can't give them preferreds in lieu of the commons...different class of stock. jmho and wondering if anyone knows a way around this issue.

Anyway, Carnes and friends own most of SGLS, so they DO own most of the preferred divy shares....but not all of them.

Thoughts? tia...........dog