Replies to post #100412 on Laidlaw Energy Group, Inc.(fka LLEG)

[HLH]

Agreed CivilStruct, Berlin project can now be declared success for the company and no reason for them not to move forward.
Hopfully there will be some PRs out in regards to the auditing that had been on-going for sometime...And ofcourse, getting the company out of the Grey too....

[TenKay]

Perhaps...

Don't know about you but when a light was finally shed on the share structure, the % of equity contained in the preferred shares was a bit of a shock to me...

When one understands all the ways preferred shares can be used to stick it to common shareholders (and I am not saying that is the case here) that fact elevated the risk profile for the common shareholder significantly IMO.

The fact is, every cent of the "pending" payout could be put into the pocket of management via the preferred shares. Not saying that is what will happen, but nobody can say definitely it will not. Thus the risk is elevated.

[DragonBear]

Of course they care. I bet they care greatly.

Management owns 165M shares

Those 165M shares represent the only criteria of their "caring". Or more accurately the speculative value which can be created for those shares in a float of 2.4B.

If they can do what needs to be done to bring the stock up to the OTC markets

That's a huge IF for all the reasons discussed before.

and get the stock up to $0.10/share, suddenly, they'll have perhaps $10-20M in value in the company (totally made up numbers mind you), plus about $16.5M in stock value.

No doubt the definition of speculative value. You have a contract management firm generating $5M per project every 5 years. Sitting between that revenue and accrued value for the common stock are management presumably wanting to receive a paycheck, and the holders of the preferred stock (again management). Most of the revenue profit generated will end up as employee compensation. Unless one believes $5M divided N ways leaves plenty left over for a 5 yr salary time period. What's left is accrued against preferred stock dividends in arrears. The company is set up to profit management, not stockholders. There is just nothing to justify even a $0.01 valuation (in the distant future) for the common stock at these revenue levels, even when assuming best case (and reasonable) scenarios in the near term.