SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Gold/Mining/Energy : Medinah Mining Inc. (MDHM)
MDMN 0.000001000-99.0%Jun 3 1:07 PM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Mike Gold who wrote (4651)7/29/1998 7:57:00 PM
From: J. Nelson   of 25548
 
Mike: >>Their dissapearnace helps by making each common share
represent a bit more of the company<< Ah, that's not going to fly IMO.

If you have 1000 shares in a company 500 common and 500 144R. now the
total of the 1000 shares are valued at $1.00 each on the open market and
the value of the company is $1000.00 total. Now the firm says let's make the
500 of the 144R shares change over to Prfd. Stock not common, so they open
up the Prfd issue to 500 shares valued at $1.00 and at 1 for 1 that's what
it would be. There is now 500 shares @ $1.00 of the common and 500 shares
of the Prfd @1.00 the only thing you did was drop the restrictions and make
a class of Pfrd stock that can trade, recieve a cash dividend, and can or
cannot vote as the common shares can. Yupers you have a company with a total
value of $1000.00 in two seprate issues of stock. Yet in the case of bancrupcy
the Prfd. get's paid out first over the common. Heck some Preferd issues have
great benifits to the holders.... ie. no expenses, no fees, special tax benifits
from the point of issue depending on the basis of the issue.
If anyone wants to help please jump in as I'm no tax accountant or advisor on this stuff,
it's just a thought and I may be way off base.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News