Sam, this is from Marty:
Message 9002599
As far as the 10K, the 41M figured is used as the "Amount and Nature of Beneficial Ownership". In the footnote, it said
"Included in the table are up to 26,666,667 shares which Mr. Gordon may have the right to acquire pursuant to the $5,000,000 Revolving Credit Loan Agreement Revolving Credit Master Note between Mr. Gordon and the Company, each dated April 23, 1998, in the event that the should the full amount of the loan is funded and should Mr. Gordon elect to convert the debt to shares of restricted common stock."
So doing the math, if Gordon does not fund the loan, 41M - 27M = 14M.
If Gordon truly care about dilution, he would only fund the loan as a last resort and use as little as necessary. My belief is that is Gordon true intent.
Regards,
tfk |
