There ARE really 44 billion shares out there. Frank owns 24 billion of them. His are 'non-tradeable' but can be turned back into common 'tradeable' at any time. If the company is sold, he gets 24/44 = about 53% of the purchase price. We get the remaining 47% divided among us. And as he continues to issue shares, his 53% stays the same and we each get a smaller portion of the 47%. That's toxic dilution, since those new shares come out of our portion, not his. (He just issues himself even more shares to keep his 53% portion.)
If you do the math you see that every share Olsen issues means we lose double that in our stake in the company. The math is even more brutal for folks who bought this stock in 2004 or earlier, because of the leverage-effect of the toxic dilution. They bought back when the sharecount was 1/4th what it is now. For them, every new share now results in almost quadruple dilution from their original stake.
The earlier you bought this stock, the more you get screwed. Not coincidentally, the share price reflects that. (The icing on the cake: Olsen claimed that whole time that the dropping share price was caused by 'market manipulation.' What a skunk.)
Brace yourselves for the next shock (particularly the less experienced investors out there): the audit will show nowhere NEAR a billion dollar in assets that Olsen claimed we have. It's probably more around $100 million, and I have doubts now that it's even that high.
This has to stop. Frank just doesn't have a clue: after six years of b.s. and deceptions and false promises, it's pretty clear he's not a suitable CEO for a public company, at least not without a strong CFO to handle the investor-relations and finance matters. He has to either hire a true CFO or step aside. He also has to make his shareholders whole by giving back a good portion of the 24 billion shares he awarded himself. I certainly hope that's his intention.
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