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Microcap & Penny Stocks : USAV - COST PLUS FIVE.COM, INC

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To: Fact4 who wrote (30)6/12/1999 1:34:00 PM
From: JBH  Read Replies (2) of 45
 
Latest e-mail from IR and one investors thoughts from RB 6/12/99

By: auditproof.com
Reply To: None
Saturday, 12 Jun 1999 at 12:54 PM EDT
Post # of 2324

IMPORTANT NEWS!!

Here is the response I received back from Kenneth Eade's office(Read My Thoughts After Reading):

A complaint was filed today in federal court, CAse No. 99-06010RAP. The
Judge, primarily because of the fact that an administrative stop order
is in place already, set the matter for heraing on the preliminary
injunction for June 28, 1999.

With regard to your particular question about market makers enforcing
the stop order, I cannot speak for them, except to say that we have
advised the DTC and all market makers of the stop order. The stop order
is enforced by the transfer agent when the certificates come in for
transfer. The stop order can only remain for 30 days. The court will
decide whether or not to extend the restriction on transfer until the
case is resolved on June 28, 1999.

I've seen some posts about what this response and what it means and how it will effect the price of the
stock next week. Here it is plain and simple:

The judge validated the stop order which means the stop order for the trading of these shares are in full
effect and should not be traded by the MM's anymore within the next 30 days, which is the expiration
date of the stop order. To make sure of this they have contacted the DTC to make sure that the
transfer agent enforces this stop order when the certificates come in for transfer. There is a hearing
date set on June 28 for the injunction to finalized the rescind order on the shares. The reason they put
the stop order in place is because of how long it would take set date for that hearing and so the MM's
can't continue to try to cover with shares that they don't own.

This is great news because that means that regardless what the ruling is at the hearing on June 28,
they can't continue to try and float on those shares by dragging out a long court case which could give
them time to recover by continuing to play their games.

The most important thing to remember on all of this is that this without a shadow of a doubt confirms
that the MM's are in seriously short on their shares or it wouldn't have even come to this. Why would
they want to go to court to fight over the right to trade shares of a penny stock unless they were
seriously short. This can be further confirmed by looking at the games the MM's have been playing with
this stock such as the huge gap most of time between the BID/ASK price and moving up the BID price
at the end of each day to entice people to sell their shares.

Folks, here's the deal! The can't trade these shares anymore covering trying to cover their selves or
they will be violating a validated court order to stop trading. Rest assured that the SEC will come down
on them hard if they do. As of Monday this thing will take off if there is any kind of volume at all. Our job
is to get the word out and creat as much volume as we can which forces them to keep raising the
BID/ASK price without them playing their games. If you consider the domino effect this will have with
momentum it could get extremely interesting within in a very short amount of time.

What we have here is very rare a solid company with great leadership and big plans, a stock that has
NO FLOAT left and a strong established foundation price that is a steal. Any one of these three
ingredients would drive a stock, but with all three at the same time this thing is going to skyrocket
provided we pour it on them!

I have urgent messages into Skip in Investor Relations and Kenneth Eade's office for additional
information and if I hear from them I will post immediately. Spread the word & buy as much as you can
afford if you've done your DD. Good Luck and let's make some money!

(Voluntary Disclosure: Position- Long; ST Rating- Strong Buy; LT Rating- Strong Buy)
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