Reverse split works like this ( I'll use round figures for ease) 1,000,000,000 shares authorized for example. company is trading at $1.00 a share. Say they do a 10 for 1 split. There is then 100,000,000 shares and they are now $10.00 a share. The share price goes up relative to the amount of shares they go down by. So in the aforementioned company if you had 1,000,000 shares prior to split, at $1.00/share, you would have $1,000,000. After split, you would have 100,000 shares at $10.00/share, so you'd still have $1,000,000. The only difference now is that there would only be 100,000,000 shares authorized. Hope that helps with the reverse split.
P.S....I haven't left, just sitting by watching and waiting.
All my opinion,
Shane |
