Replies to post #170844 on Spongetech Delivery Systems, Inc. (fka SPNGQ)

[ID Supermoney]

That may not come down until after the First quarter report.

It may not be settled at the end of August.

We may have to wait till October.

[wadirum1]

The 1.85B shares issued in your example would be in the O/S, so I think the latter half of your post gets off track a bit. But I agree with the "wow" part!

[RainingPennies]

YES YES YES....I like that theory alot and want it to be TRUE.......R E T I R E M E N T ! ! !

RP

[happyguy72]

hold up...

think of it like this... there are not fake shares and real shares...

there are only shares that exist.


we know they exist because they sit in our brokerage accounts.

and my bet is... that if you added up ALL of the 'owned' shares... which includes the O/S as issued by spongetech AND the shares owned and held by every one from the guy with 1000 shares on up to the largest single holder they would equal a number very near to the current a/s.

see... all these shares exist. we own them. if we ALL flooded GTC orders at a range of prices, alot of sombodies would see the total number... and i am pretty sure that there is a way for the company to 'see' over all ownership, without this type of action.

now... the kicker is that ONLY shares that exist within the overall COUNT of the A/S can POSSIBLY exist... any more than that.... and they just simply DONT fit in share structure....

whats the easiest fix?? expand the a/s to a number that you know will be large enough to accomodate all of the owned shares...

in essences, and per the 'known' share structure, spng has sold an outstanding count of 722 mm shares between RME and the rest of the common holders... and they have authorized a finite maximum of sellable shares at (what is now) 2.7B. this structure then allows them some headroom in case they need capital... but currently they don't need it...

and the crux... if ownership counts conclude that more like 2.7b have been sold but spng only really sold 722mm, then somebody STOLE approx 2B shares, sold them into the market and pocketed the money.... AND whats MORE is that if spng really DID need the money... they would have to raise the A/S again. we know they don't. and that puts spng in an incredibly unique position.

so, you said:

"That leaves 1,850,000,000 shares that could be sold to the shorts for them to cover."

and i disagree... these shares already exist in the market... they werent sold by spng, but they were sold and are now held in the market. spng cant 're-sell' them out of their a/s... the shorts already maxed the a/s without spngs authority...

if spng wanted to 'sell' 1.85b to the shorts to allow them to cover, then we would need to see the a/s climb ANOTHER 1.85b in order to allow the creation of these shares to 'fit' in the authorized count.

and back to a possible reason that the a/s was increased from 2.5 to 2.75.... perhaps somebody saw that the owned counts were dangerously close to breaching the exact limit of possible shares (a/s)... therefore, to protect ALL the share holders, the a/s was raised as to ENSURE that all shares were necessarily encompassed with in the a/s.