Replies to post #193513 on CMKM Diamonds Inc (fka CMKX)

[fung_derf]

Would it cost a ton? Wouldn't they just be sending over one lump certificate, then letting the T/A split it up? By doing it for everyone all at once, it would seem to me it would be simple. The cost would be if they had to do it one at a time.
BTW, I'm just guessing here.

[B Stone Q]

I just checked on my Cert order from E*Trade. The e-mail back said they were automatically sending out Certs to all CMKX holders/non 401K. Should recieve by 12/31/2005 and it would be a $40 charge.

It looks like it will be a race to get the Certs and Fax them in before the end of the year.

[TigerCat]

I think it's to avoid the complaints from customers who suddenly find their accounts missing $50 without their approval..

[Investorman]

When you call a company, any company, it costs them money. If a broker has 5000 accounts with CMKX shares in them, and each of these shareholders calls several times, the costs would be large not counting that the call volume would be well above normal thereby clogging the system and preventing normal business from being transacted.

The large brokerages may have decided that simply running a program to request certs for all CMKX shares in all accounts would be more cost effective for them. A $50 fee for issuing a cert (minus the $16.50 paid to the TA) only leaves $33.50 for the broker and call center costs for handling one phone call average around $14.50. It is easy to see that just a couple of calls on each account would put them in the red when handling that request not counting the money lost by not being able to service other calls.

[tortradr]

Tavy,

The houses don't necessarily need to charge any more for certs than the amount that the TA will charge. That most brokerage houses charge anywhere from $40 to $300 for certificate issueance is their own perogative. So, in terms of convenience, it wouldn't hurt the house to waive all but the TA's fee; in fact, it could prove to be a minor PR trump.

[janice shell]

If 200 customers asked you to issue their certs why would E-Trade not charge their normal fee? Just to get rid of CMKXers doesnt float imo.

But then you haven't been answering the phone and replying to nonsensical emails about CMKX for the last two years or so.