Replies to post #196630 on Spongetech Delivery Systems, Inc. (fka SPNGQ)

[tturner617]

Wadi and I are usualy on the same wave--so let me take a crack at the questions.
1. the GT FU thing--no idea, but a. Soap seems to think will be important and be explained a little later. b. SM and Co must think they have something cause Vanity Events (another Co he owns, and used for trying out things--kinda shell Co) Sold 4m shrs to a group of 11 investors for 1m cash (even though the current shr price for Vanity is about 2 bucks) and used that 1m cash to buy Gt FU. If I was a shr holder of Vanity--I'd realy be pissed.

2. the 300 AS is prob what they want to keep for the next few yrs or decade--a. lot harder to putz with Shrs when Naz and Naz investors/funds a lot less forgiving about such things. However, Gotta think about post split/Naz and the implications of having only 5-7m tradables (not to mention float)--just too small. So, gotta think after Naz, we will see stk divies every so often to get the shr count back up to the 100m or so range (Mgmt has expressed an ideal number would be in the 200m or so area--but that was about 9 mo ago)

3. Being a cynic, and seeing how someone wants to shake the tree and get as many cheap shrs as possible b4 the split (or some other news not yet told) I kinda expect late again and take the "E" on our stk symbol, just to get more panic and selling (with AYME eating each shr sold)

4. Bill Young (as of last week) was still with the Co--however, not sure as to his official funtion. What ever it is, I believe he still has a sizable steak in the Co. In the meanwhile, the contacts now given as IR are basicaly Co zombies--just giving out info that has already PR'd and nothing else.

5. I believe Naz will come. I'm seeing signs that the Co is orcastrating it for around the 1st qtr Q--(maybe end of Oct) JMO

6. Yep--After Naz, should finaly get this stk acting like any other Stk--ie, decent PE, PEG, and one that goes up when there is good news!!

[wadirum1]

EXCELLENT QUESTIONS. And I really liked Turner's answers.

1. GFGU: I especially liked Turner's points about the obvious urgency with which VAEV invested. If we know of the discount they are getting or restrictions I haven't seen it posted anywhere. I gave some thought to picking up some myself -- though I don't like its chart right now and the GOOG snafu is off-putting. Also, I guess I already own a good bit of the stock via my SPNG investment! SPNG's investment was nearly half of their 2009 after-tax earnings! I sure hope Soapy is right about there being something more to this.

2. Why 300M after the 1:100 reverse split? Well, I don't think it is to prevent a hostile. MGT still has the class Bs for that. And my reading of Nasdaq is that existing dual share voting structures can continue after uplisting. They cannot be established (or tweaked to give even more power to mgt) after uplisting, but existing dual structures I THINK can continue. Now, I have always maintained that SPNG will want to have a ton of extra shares in case the squeeze goes so far that they want to issue some. But the 300mm is probably just to shake loose shareholders.

3. On the 10K due date. It is due before 5:30PM (I might have the time wrong) on Tuesday. If they are late, they become SPNGE, and eventually they could be delisted.

4. On Bill Young I dunno. They list someone else now, but Turner verified he is still with the company.

5. I would think they could uplist well before the end of the year, but I am no expert on that.

6. On institutions, I do think they like PPS>$4 or PPS>$5. And I think they prefer Nasdaq. Both of those moves should be very positive. So is Deloitte and Touche, the Dicon manufacturing capacity, the Dicon patents, and the absence of debt.

[General Grievous]

i'll say this again, if they do not file by the 15th they will have an ADDITIONAL 30-day grace period BEFORE delisting to the pinksheets..