Replies to post #245519 on ERHC Energy Inc (ERHE)

[Krombacher]

Peace to you to ssc. I don't think you are an outlier anymore, and I guess I should apologize, so I'm sorry. I think you have some level of contrarian thinking, which can be good and certainly prevents group think.

Having said that, what you seem to be saying is that it is ok for ERHC to have sold its shares because those shares ended up decreasing in value. And you think that that is a good move.

Let's turn this around to analogy with the U.S. govt. Clearly, the U.S. govt can print shares, it costs them nothing, save the ink and the paper. And if they print enough, the ensuing inflation would cause the value of the dollar to fall relative to goods and services that say the govt pays for by printing money.

So by your logic, printing money costs U.S. govt nothing and on top of that, it is a smart move because that which the U.S. sold (i.e. printed paper) is worth less now then it was before the printing started.

That's true. But what of the citizens who use that money? Aren't they analogous to the shareholders of the company?

It is one thing if ERHC got the same value in as the value offered in its shelf shares and warrants, but it did not by my calculations based on the value of the options in the 10k.

So how is that a good move?

Krombacher - the above may be wrong.

[mz157]

hind sight is always 20/20. Did you ever think that the shelf may have contributed to the decline in SP?

[Krombacher]

Or another way to say it is this:

Peter Ntephe seems to be saying that the shelf issuance give ERHC credibility and viability with its partners by raising money.

Similarly, the U.S. govt can always pay for its debts by printing money and giving it to bondholders. Certainly, the U.S. govt is credible in paying its debts in this way. But do we really want that.

And what about those who suffer in both scenarios: the citizens/shareholders.

Now consider that the $2 million raised was either spent on expenses to pay for Peter Ntephe and others or for the purchase of Exile shares.

Exile shares dropped like 40% and with Oando in the mix, it is unlikely that ERHC will acquire Exile anytime soon. It appears to me a bumbling fool decided to make ERHC even more risky by buying shares of another penny stock.

Would you be happy if the U.S. govt paid for its debts by printing money so that the politicians can get special services and goods and/or so that the U.S. govt could invest in money losing endeavors.

Would you be happy if inflation made all of your savings in the bank worthless?

You could tell us, "well Krom, if you don't like ERHC then sell and move on." That is the same as telling many, "hey, if you don't like America, leave".

Krombacher - the above may be wrong.