Robert,
You asked, "what the converted ratio of preferred to common shares is?"
According to my calculations, each Series B share would have converted
into 8760 common shares today, and each Series C share would have
converted into 9113 common shares. This calculation includes
accretion.
The headings for the following columns are Date, Closing Price,
Series B Conversion Price, Common Shares per B Share, Annual Return,
Series C Conversion Price, Common Shares per C Share, Annual Return
10/22/98 1.84 1.23 8760 35% 1.16 9113 116%
10/21/98 1.78 1.14 9452 38% 1.16 9111 106%
10/20/98 1.63 1.08 10009 35% 1.16 9109 80%
10/19/98 1.31 1.07 10058 19% 1.16 9107 30%
It is interesting to note that this week featured a strong incentive
to sell and convert Series C shares, but the average volume suggests
that this has not happened in large quantities. Have those so inclined
closed out their positions, or are they waiting for even bigger gains?
The Series C conversion price has been at $1.16 for the last two
weeks, and will stay there for another couple weeks unless the stock
crashes again. Things are looking good for those interested in
converting this month or next and holding them until the 1 year
anniversary of the Series C offering.
Greg |
