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Strategies & Market Trends : Floorless Preferred Stock/Debenture -- Ignore unavailable to you. Want to Upgrade?

To: Zeev Hed who wrote (507)	6/26/1999 6:47:00 PM
From: DoubleOddBuck	Read Replies (1) \| Respond to of 1438

Zeev, Surelock. How do you know what a floorless preferred is ? I know it seems like a stupid question to you learned people, but I am not 100% sure what your talking about. Would this be referred to as a floorless preferred ? : The Company has authorized 10,000,000 preferred shares, $0.001 par value per share, to be issued in series with attributes to be determined by the Board of Directors. A series of 2,000,000 shares of Class A Preferred Stock has been authorized by the Board of Directors. The Class A Preferred Stock, all of which are currently outstanding, has the following rights, privileges and preferences: * Each share is convertible into five shares of common stock at a conversion price of $0.05 per share. * Each share is accorded five votes on any matter submitted to the stockholders of the Company. * These shares are assignable, subject to compliance with any applicable securities laws, rules and regulations. * Ownership of these shares vests on issuance, and they are not subject to cancellation.

To: Zeev Hed who wrote (507)	6/26/1999 10:00:00 PM
From: Chris McConnel	Read Replies (2) \| Respond to of 1438

> surelock, I just did a "fast look" at TMSR, I cannot find any floorless issue. Zeev, check out: biz.yahoo.com - Chris

To: Zeev Hed who wrote (507)	6/27/1999 11:18:00 AM
From: surelock	Read Replies (1) \| Respond to of 1438

Zeev, <TMSR> From their press release describing the financing: "During the period commencing on the date 90 days and ending on the date 300 days after the June 9, 1999, the conversion price will be the lesser of (a) $24 or (b) 88.89% of the average of the lowest 10 closing bid prices per share of the company's common stock during the 25 trading days preceding the conversion date." My thought on first glance was that holders may orchestrate weakness in the stock after 90 days in order to maximize the number of common they would receive. It seems, however, that the small size of this financing, and the restrictive terms on conversion would not in itself lead to a lower share price. Thanks again for your informative comments.