Replies to post #141111 on World Surveillance Group Inc (fka WSGI)

[WarpCore61]

I'm aware Estrella said this. But he stated that while Clark was COB and in his presence. Now that Clark is gone, does he still feel the same way? How does Anthony feel about it?

I'm just saying it's a possibility, and not one everyone should arbitrarily dismiss just because management stated it wasn't going to be done. I believe they stated a R/S wasn't in their plan, not that they would never do it at some point.

I hope they don't. I'd much rather see them get contracts and move towards the buyback plan as rapidly as they can. But there's still a lot of legacy issues to deal with as far as the existing judgements, and I'd expect them to have to deal with all of those before allocating funds toward share buybacks. I think the courts that issued the judgements would agree.

One of the problems with this company is the large number of outstanding shares. I continue to believe this will limit any upward movement of the share price once contracts are announced. I believe many shareholders know this and will unload large numbers of shares on any significant rise in share price. Years of historical trend data will convince them they can sell and then wait for the inevitable drop in share price to buy back in, while taking some profits in the process.

This wouldn't have a significant effect on a company with a much smaller number of shares, but I believe it will with this company. I believe it will limit the company's ability to move the share price high enough on contract news alone, and may eventually cause them to consider a R/S in order to meet the Nasdaq listing requirements.

The drastic rise to 31 cents following the symbol change is a good example of this behavior, and I believe we'll see that behavior repeated again and again due to the profit taking exceeding demand for the shares. And I don't expect we'll see any significant institutional demand for shares until the company is actually trading on Nasdaq, and a R/S may be the only way to get there due to the limitations inherent with any company with our share structure.