Did I make this up also?
Everyone keeps touting the fact that Global Games management is keeping their shareholders so wonderfully informed of events and of their vision of future revenue streams. Further, several regular posters have continuously informed us that they have performed extensive DD on this stock, yet when asked no one seems either willing or able to produce anything that resembles Due Diligence. Lets review just a couple of the recent "happenings" and see if these people are painting a true picture of GLOW.
1. On June 29,1998 the GLOW CEO announced that the recent merger between GLOW, Wolf Key Holdings, ICE and ECS had fallen apart.
Monday June 29, 9:05 am Eastern Time
biz.yahoo.com
" Mr. Borglund explained Global's position saying, ''On April 1, 1998, we announced the potential ''unwinding'' of previously reported acquisitions, Wolf Key Holdings, ICE, and Electronic Card Services, Inc. (ECS) because of lack of adequate documentation on these companies."
2. Yet on April 28, 1998 he announced that the ECS acquisition had been restructured for 6M shares of stock (this number is important).
Tuesday April 28, 11:40 am Eastern Time
Additionally, Global is very pleased to announce that the ECS acquisition, which originally was a cash-plus-stock transaction, has been restructured more attractively and is now a stock-only transaction. The new ECS acquisition price is 2 million shares of free-trading Global stock and 4 million shares of restricted stock. This transaction is expected to close this week.
3. And on May 5, 1998 he announced projected revenue streams? Am I missing something? How can a company that was in the process of being "unwound" produce revenue streams?
Tuesday May 5, 10:55 am Eastern Time
Additionally, the planned expansion of Electronic Card Services, Inc. (ECS), announced on April 28th, is in the final stages of documentation. ECS will be operated as a wholly-owned subsidiary of Global Games, Inc. ECS President Bob Heward projected realistic fiscal year 1998 sales of about $7 million, with estimated earnings of $2.8 million. Based on these figures, the ECS subsidiary is expected to contribute almost $0.05 EPS to Global's bottom line.
4. And now for Burnt church. Notice that their webb site (http://cnet.unb.ca/nb/burnt_church/) has never been activated. Strange for a business that was projected to produce such large amounts of money. And notice the CEOs remark "While we are unable to make that announcement at this time, we recognize the importance of keeping our shareholders informed of all developments on a consistent basis". Well where is the additinal information to the stockholders on the letter of intent or follow on contract?
Friday May 15, 6:39 pm Eastern Time
The Canadian group has asked Global Games to consider expanding their original management services proposal. Global Games' President Gary Borglund elaborated, ''We have been working on a significant management services contract with an entity in Canada. This agreement was expected to be signed and announced this week.
Mr. Borglund concluded saying, ''We indicated in our last press release that we expected to announce significant news this week. While we are unable to make that announcement at this time, we recognize the importance of keeping our shareholders informed of all developments on a consistent basis. Our shareholders' confidence is very important to the overall success of Global Games and we greatly appreciate their support.''
Friday May 22, 10:54 am Eastern Time
Burnt Church First Nation's bingo-plex will be located in a beautiful new 600+ seat facility and will be operated under a gaming agreement with the province. Global Games estimates the approximate opening date of the new facility will be mid-July this year.
Well it is now well past mid-July and still no movement from the letter of intent to a signed contract. The Bingo hall must have opened without Global Games participating. No announcement of delays, no announcements of the "expandng their original management services proposal", nothing!
5. And now for the 20M shares of stock fiasco. The "unwinding of Wolf Key Holdings and ICE was supposed to free up 20M shares of stock "issued as part of the acquisitions of Wolf Key Holdings and ICE". Am I miscounting or shouldn't that be 26M shares (forgot to add the 6M shares renegotiated for ECS, in 2 above). Strange how we jumped from 13M shares to 20M shares and now???? Oh, well what is 6M shares to stockholders of a penny stock, the downside as Mr. Biggs says is only $.25. And another thing if I remember correctly Mr. Borglund was President of GLOW during this period of time. How come he keeps saying that it was previous managements fault. Wasn't he part of it????
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Monday June 29, 9:05 am Eastern Time
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At that time, we were aware that over 13 million shares had been issued for these acquisitions. However, our recent review of these transactions disclosed that the previous management of Global Games ultimately allowed a total of 20 million shares to be issued as part of the acquisitions of Wolf Key Holdings and ICE.
Bottom line is that this company has not produced one single solitary contract that has produced one cent of revenue. In my opinion press releases appear to have been made with the sole intent of creating movement in the stock. |
