Replies to post #195500 on Spongetech Delivery Systems Inc (fka SPNGQ)

[Stock Stallion]

did anyone call them to see what they say about it? I called TD because i have an account there, i also sent a message to compliance at etrade to ask if they have a problem with transferring SPNG shares in. I would call them but they send you to INDIA after regular hours and im not into translating after a day of trading LOL

[big lug]

So is Edward Jones

They wouldn't let my uncle buy any sponge 3 months ago. They consider OTC BB too risky. He opened an ETRADE accout to purchase his shares.

Big Lug

[Stock Stallion]

I told you i would post what i got a response back from etrade on all this. here is their reply. My dog could work there :)

From: XXXXXXXXXXX
Sent: 09/11/2009 11:43 PM
Subject: Trading & Investing
Topic: Execution Status/Open Orders
Account: XXXX-XXXXX
Reference Number: 785545

Message:


Dear XXXXXXXX

Thank you for your message regarding the potential additional risk in shares of SPNG. I looked into the details of this stock and can confirm that there are a few factors to be made aware of when trading them through E*TRADE. This stock has a 100% margin requirement. This means you must pay 100% of the price in cash and unable to use any margin buying power to purchase any percentage of this stock.

Please note that the initial margin requirements on a specific stock may adjust the margin buying power you can use to purchase the stock. The margin buying power that is reflected online in the Balance screen reflects your buying power when a stock has a 30% minimum maintenance requirement, which is usually the case. If a stock has anything more than a 30% requirement, your buying power for that stock will go down. To view the margin maintenance requirements for your stock please review the following web address:

https://us.etrade.com/e/t/estation/help?id=1302010000



When trading a security that trades on the OTC (over the counter), Pink Sheets, or a Penny Stock such as SPNG, there is a significant risk that your order may not be executed.

This can even occur when it trades at or below your limit price have taken place. The OTC and other markets are highly unregulated, and market makers are not required to execute your order even if it is the best currently available. Because of this fractured market, you may have to place several orders before you receive an execution. Please feel free to contact us at any time if you have any further questions.


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For future inquiries you can visit the Online Service Center, it is the fast & easy way to get answers to all your questions. You can also reach E*TRADE by phone at one of the phone numbers located at etrade.com/contactus. As always, your business is most appreciated.

Sincerely,

Michael Brady
Mon - Fri 4: pm - 1:00 am EST
1-800-ETRADE-1 (1-800-387-2331)
Financial Services Representative II
E*TRADE Securities, LLC