Replies to post #53266 on CBA Florida Inc. (fka CBAI)

[MinnieM]

I think this is the post you are referring to:

http://investorshub.advfn.com/boards/read_msg.aspx?message_id=60144810

quote:

Faithful or not, the percentage of ownership drops with that A/S coupled with the R/S. It's a fact.

New investors coming in after the split will reap the most benefits of those acquisitions. JMO

Now, let me show again, why this decrease in percentage owned is a fact:

The facts are in the math. Calculate it out yourself with your own shares. The percentage of ownership drops with that increased A/S coupled with the R/S.

Here’s a sample:

Current A/S = 6,945,000,000
After a 500/1 r/s it will = 13,890,000
Increase A/S to 100,000,000 after r/s.

500,000,000 shares currently held will become 1,000,000.

Presplit, the 500mil is roughly 7.2% of 6,945,000,000.
Postsplit, the 1mil is roughly 7.2% of 13,890,000.

Increasing the A/S to 100,000,000 after the r/s makes that 1mil held now only 1% of the A/S.

1% is quite a bit less than holding 7.2%. It’s about an 86% drop in percentage owned from pre to post split.

Whether the A/S is used immediately or not doesn't make any difference. The fact remains that the post split shares are a smaller percentage than the presplit shares owned due to the increase in A/S. Plus, you can count on those shares being used for additional acquistions or whatever else is in need of dollars.

http://sec.gov/Archives/edgar/data/1289496/000135448811000407/cbai_pre14a.htm

Of course, this is all academic if the reverse split coupled with the increase in A/S is voted down.

Btw, I had just bought in again very recently. But, I sold shortly after the announcement of the impending R/S coupled with the increase in A/S. I'll get back in once the dust settles well after the R/S.





In Reply to 'necktoeye'

Quote:
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Faithful or not, the percentage of ownership drops with that A/S coupled with the R/S. It's a fact.
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NOT TRUE AT ALL> FACT