Here are the totals for calculating fully diluted shares from the 8-K:
2,575,217 shares of Common Stock
4,108,860 additional common share equivalents from Series A
10,500,000 additional common share equivalents from Series B
----------
17,184,077 fully diluted common shares reported to SEC
Can you explain why the 8-K reports 2,575,217 shares common while
you are reporting 3.0 million (1.2 float + 1.8 insiders)? Where
did the additional 400,000 come from since October 10?
Note that the Series B potential must also be included when
calculating the number of diluted shares.
There are good reasons why the SEC requires these accounting
practices -- namely to protect shareholders from understatement of
dilution. Reporting the number of converted shares in insufficient.
Again, these numbers do not include the results of the latest
acquisitions - only New Departure. |
