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Microcap & Penny Stocks : EDII

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To: gerard mangiardi who wrote (2776)7/9/1998 8:36:00 AM
From: jmt  Read Replies (2) of 2849
 
Just a note on the stock dividend:

Out of Ross, Westerfield Jaffe, Corporate Finance, Pg 482.

"Another type of dividend is paid out in shares of stock. It is not a true dividend, because no cash leaves the firm. Rather, a stock dividend increases the number of shares outstanding, thereby reducing the value of each share."

The 10% stock dividend now brings the outstanding share count to 88M.

The last few news releases have had no substance.

jmt
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