Well, you could be right - it doesn't matter.
But it is the type of disclosure that would help substantiate your position that Mr. Carraway is an upright guy, and a 'shareholder's kind of CEO.'
The things we know are:
(1) that he received an option in 1993 for 1 million shares - @ 18% of the current outstanding (and equivalent to @ 40% of the 47% of total shares owned by insiders, as you say), and probably a higher %% of all shares at the time it was granted. This option was apparently exercised at some point in time, because
(2) at the end of 1995 he still owed $110,000 on a note to the company - which he paid during the first half of 1996. So he gave the company a note for at least $110,000 of the payment for the option = $0.11/share.
(3) In November 1994 the company made a recission offer to existing shareholders because 'some of its securities were sold in violation of securities laws.' So there were other, public, shareholders at some point prior to November, 1994 - but we don't know when the company began selling shares to the public, and so we don't know when GRNO ceased to be a private company, or when it first gained public shareholders. Nor do we know how/why or on what terms the option was granted/approved.
For myself, I would prefer knowing if the CEO put up real cash money, and if so, how much - whether an amount per share, mostly in cash, which was in line with what the market price (or the price the company was selling shares to new stockholders) was at the time the option was granted - or just $0.11/share, all in the form of a note - to get a 20% interest in the company. It has a bearing, in my view, on his motivations and his commitment.
I applaud all you are doing to research GRNO and communicate your findings and perceptions. And I hope others will do likewise - both support your efforts and conduct their own research and draw their own conclusions.
Similarly I hope that you will respect discussion of items that others may consider to be material and of import.
Bill Fuller |
