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GreenBriar

02/03/10 5:45 PM

#95330 RE: MrStyle #95323

Available (Authorized) vs. diluted (Outstanding). A company could have billions Authorized, and as long and dilution is kept at a minimal there is no problem.

If a company had "billions" Outstanding, I would not say "don't invest in it", I would say... Don't expect as much from your investment.

This is where TRANSPARENCY comes into play. If a company is diluting as an effort to grow the company - then tell me that you are, and tell me why! Tell me what you are spending/ have spent the money on and what the goal of that spending is, and to where that spending got the company. At that point, the investor can determine if maintaining (or, even increasing) that investment is in his/ her best interest. HONESTY IS, AND ALWAYS HAS BEEN THE BEST POLICY. Without transparency, one must wonder what is really going on behind closed doors.

Lack of transparency is the leading reason that people spew words like "SCAM"!
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SammyTheBull

02/03/10 7:45 PM

#95340 RE: MrStyle #95323

Many companies have billions of shares outstanding, Microsoft for example. But their billions of shares are due to keeping the stock tradable (e.g affordable for everyday investors). If the shares outstanding were lower, few could afford to buy it (e.g Berkshire Hathaway). With pos pinksheets like BBDA, those multi billion shares are killer. It's trading only two one hundredths of a penny above worthless. So dilution where it's barely survivable is a bad thing.

The simplest analogy I can think of is that you order a double Scotch, 30 years aged, for a hefty premium at a nice bar. You pay the bartender for the drink. But before you can take a sip, you say "with a splash of water" and he starts pouring a gallon of water into it (dilution) so you wind up with a clear glass of water for what you paid a premium for. No booze left. You feel foolish so you ask the bartender for another one in hopes that it'll turn out different (the bartender winks and nods and says "I'll take care of you") and you turn to your drinking buddy and say "the bartender will give me the whole bottle to make up for his conspiracy, er, mistake, er, whatever excuse". The bartender turns and does the same, but now blames the distributor, importer and economy for why he diluted your drink to pure water. Meanwhile, someone mops up the water and Scotch, wrings it out and sells it to another sheeple guy asking for Scotch and water with an excuse.

BBDA is no different. The current "CEO" has diluted more shares than Carnes did, and he's a known stock scammer (under SEC indictment). Dozens upon dozens upon dozens of press releases and this pos still sits at a couple of clicks above worthless. The only reason it hasn't gone no bid is because mm's are sitting there with their L3 workstations full of diluted shares waiting to be dumped. That'll soon come to an end because few can care less.

Enjoy!