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Microcap & Penny Stocks : Liteglow (LTGL) -- Ignore unavailable to you. Want to Upgrade?

To: Jim Johnson who wrote (4428)	6/11/1999 4:27:00 AM
From: prudentinvestor	Read Replies (3) \| Respond to of 4715

Some Lingering concerns about LTGL: Recent press releases have put the "issued and outstanding" at 3.5 million shares. HOWEVER...why have several posters had such lack of success obtaining from the TA the "issued and outstanding" as well as the "float"? I've never heard of anything like this before, for a publicly-traded company!!! ALSO...a Company shareholder communication dated 14 December 1998, announcing the reverse split, reduced the authorized shares from 200,000,000 down to 10,000,000, which is a 1:20 reduction. Yet the reverse split was 1:60! In other words, it would appear that the Company left themselves room for the issuance of additional shares beyond the stated 3.5M issued and outstanding. IN FACT, this same shareholder communication did indicate that "the Board voted to authorize 1,000,000 additional shares as preferred shares", and (furthermore) that "the rights and preferences of <the preferred shares> should be established by the Board of Directors." QUESTION: Does anyone know what these "rights and preferences" are? What is the conversion ratio of preferred to common? I seem to recall a post, either here or on RB or maybe in a Company PR, that the conversion ratio was 5 shares of common for each preferred share. If that is true (would somebody please check on this) AND if (in fact) the authorized preferred shares were actually issued, that would mean a potential further dilution of an additional 5M shares. WHICH MEANS that the number of fully diluted shares, upon conversion of the preferred into common, is more like 8.5M shares. If that is true, then recent projections of 18-20 cents per share for the current year would have to be reduced to approximately 7-8 cents per share on a fully-diluted basis (the only legitimate basis upon which to base earnings per share). I, like many of you, am awaiting the SEC filing, and plan to stay on the sidelines until I see it. There is simply too much uncertainty, esp. when a number of posters have indicated that they were unable to obtain any information from the TA. As Dick Davis used to say (in the Dick Davis Digest), "There's always another day and there's always another stock." Many BB stocks trade on insufficient or misleading information, much of which is posted (or even generated!) in these message boards. In particular, the fact that nobody has, for certain, found out the number of issued and outstanding shares, much less the number of fully diluted shares, does trouble me. I, for one, am glad that the SEC has required even BB companies to be fully-reporting as of (I believe) the end of this calendar year.