Replies to post #65011 on Zeev's Turnips Patch-No Politics (ZEEV)

[Public Heel]

MAXF - " Maxcor Financial Group Inc. (Nasdaq: MAXF) reported today that it expects to incur a significant first quarter 2003 loss from the settlement processes expected to be applied to when-issued trades executed by its broker-dealer subsidiary in the common stock of NTL Inc. (NasdaqSC: NTLI)."

It gets complicated after that <g>

[chainik]

Zeev,

I am surprized that you are putting some much emphasis on good QLGC report.

Everybody knows that storage is doing great and that QLGC is going to 100 soon (g)

[llgm]

See his post earlier today on Silicon Investor



llgm

[llgm]

See his post earlier today on Silicon Investor



llgm

[MyHunch]

Good Morning Zeev and all. In QLGC 41.72, CYMI earlier at 36.55 (a second trip today so far), CCMP 53.81. Waiting to reshort EXPE on any ramp up (covered 2 lots from last night just now here at 66.85 for less than a buck together)

[Dale Baker]

MAXF in a nutshell. I added more in low 6's and expect the chart gap to 7.50 to fill soon.

To:LLGM who wrote (32342)
From: Dale Baker Wednesday, Jan 15, 2003 8:26 AM
View Replies (1) / Respond to of 32351

The MAXF news is amazing - amazing how dumb the NASDAQ can be. MAXF had some NTL bonds converting into equity as NTL came out of bankruptcy. So MAXF shorted the "when traded" equity against their bond holdings to cut risk. On the day NTL comes out of bankruptcy they declare a 4-1 reverse split of the new shares. But NASDAQ won't adjust all the trades prior to the reverse split. So MAXF may take a $4m loss equivalent to their short position quadrupling against them overnight.
Imagine if the NASDAQ let an actively traded company do a reverse split without making all the brokers adjust your holdings accordingly.

Eventually someone should fight this out in court or arbitration and set it straight. MAXF has lots of cash to handle a one-time loss if they don't.

But it's ridiculous this happened at all.