myelin2: This is pure guesstimate......
Next news will be within 10-20 days, ...laying the ground work for the announced stockholders meeting in Feb. Proxy info should be distributed along the same time line.
My guess, based on the history of the company, is there will be more verbiage about "revenues" which are meaningless since there is no benchmark to evaluate them against, unless you want to continue with the massive negative earnings scenario (which has a high probability). Cash flow from operations and earnings tell the story. Bolstering "revenue" using cash from stock issuance would probably be viewed as a negative.
I personally expect there will be an effort to change the basis of the company via a name change, and/or an increase in the authorized shares (now 100 million). This could be represented by a merger into a newly formed or existing company with the same management. The share increase could occur by itself within the FAMH framework. Remember, to date, there has been no evidence of profit or positive cash flow and there reportedly is a large balloon payment (multi-million $$) due on the Myriad acquisition from the IRS in June,1999. Also remember the "warning" by company management that the company may have difficulty continuing in its present form.
There is also the possibility they could try to take the company private, to try to erase the shareholder liability hanging over them now. Just think, for 0.08/sh. they could buy 75 million shares for $6 million. Many shareholders, duped by management would get out and say "good by" rather than sue. "Management" would have cut their risk exposure. It's an interesting possibility to this carefully choreographed business plan, but purely a guess on my part, again, based on their history. They would probably surface again soon in some other form to issue shares again and milk new investors. The SEC appears so weak in dealing with these issues.
So, I guess there will be a build-up of PR very soon, possibly in part, to pop the stock by enticing new buyers who have not done any homework and just chase the PRs. I would be wary concerning vague announcements about a possible "merger".
Other possibilities???? |
