Replies to post #33472 on Liberty Star Uranium and Metals Corp (LBSR)

[Atlanta1]

This is excerpted from an email I recently received in response to my expression of concern regarding dilution of one of my other holdings (this is NOT Liberty Star):

" Sorry for the delay in responding to your questions. The current issued and outstanding shares for XXXXXXX as of 9/17/10 is 635,909,238.

I can appreciate your frustrations and concerns related to the recent issuance of additional shares and the dilution it has caused. Unfortunately it is sometimes necessary for many companies in the early stages to utilize their stock for funding and operational purpose's. The ultimate objective is to keep the company operational until it can generate sufficient revenues and profits to sustain itself. "

Sounds to my like they can sell as needed into the open market.

[ronning999]

That's correct. Companies generally issue 504, 505 or 506 shares at discount to the market to an 'investment' company, like say Mazuma or TJ Capital, who generally dump them directly into the market.

Then there are 144 shares which can be sold directly into the market.