Ross: good point!<< double secret probation. HOLD.>>Do not sell!!
<<It is the retail buyers and sellers of 100 and 1000 share blocks that move this stock. The heavy use of margin by retail customers plays into the hands of the shorts. The shorts may be affiliated with those who have a stake in keeping this company under their thumb. It has been noted on Yhoo that shorts keep banker's hours.>>
INDEED!
From GMGC 10-Q (Aug'98):
"If the lowest sales price of the common stock in the five trading days prior to conversion is less than $3.45, the number of shares of common stock issuable upon conversion of the Series B preferred stock will increase. The number of shares of common stock which may be issued upon conversion of the Series C preferred stock is also dependent upon the trading price(*the average of the 4 lowest closing bid prices) of the common stock during the 20 days prior to the time of conversion. If the sales price of the common stock decreases, the number of shares of common stock issuable upon conversion of the Series C preferred stock will increase." *my insert.
And, from last Wednesday's earning report:
"Dec. 31,year 1998 1997
Revenue $2,286,000 $3,456,000
Net income b (38,908,000) (28,384,000)
General Magic Inc. (GMGC) said 1998 financial results reflect a $22.9 million adjustment to the accumulated deficit from preferred shares sold with favorable conversion and redemption rights and dividends."
$22.9 million adjustment out of $38.9 million is 58.9% a huge chunk!
You and I, we voted the extra 40 million common shares in January for Markman, the management to use, a good use for raising funds, for getting partners, for dealing with the bank...A LOWER PRICE DOES NOT HELP!
HOLD TIGHT ONTO YOUR SHARES! $3 9/16! an opportunity to buy More! |
