Also, insiders control 48% with only a 400K float!. Back in Feb 98 they did do a reverse stock split in the 48 to 1 range. According to their def 14c this was done to reduce Delaware franchise tax. This was taken from their Def 14c filed on 3/17/98
"This Information Statement (the "Information Statement") is being
delivered by Lifschultz Industries, Inc., a Delaware corporation (the
"Company"), and relates to the approval by the shareholders of the Company
of an amendment to the Company's Certificate of Incorporation to reduce the
number of authorized shares from 85,000,000 shares (80,000,000 common and
5,000,000 preferred) to 1,750,000 shares (1,650,000 common and 100,000
preferred). The purpose of the decrease in authorized shares is to reduce
the Company's Delaware franchise tax."
Insiders have been buying this stock as well at the split adjusted price of arond $5 bucks. I am just posting this stuff as I go along so if I got any facts wrong please comment.
Sources:
biz.yahoo.com
freeedgar.com
Have a call in to IR, hopefully will call back. Based on what I've learned so far bought a small position at 6 1/4. Looking to buy more, but this thing sounds too good to be true. What are the negatives out there!
Thanks,
Rory |
