To: Glenn Zagoren who wrote (23655 ) 8/24/1999 9:43:00 PM From: Ice Cube Read Replies (4) | Respond to
Something I totally missed and I apologize for... the placements were done under rule 504D, offshore, which means the stock was freetrading the day the agreement was signed and not required to be held 1 year. You can raise up to $1 million per calander year under Rule 504 and they did this in 98 and I think 99. So, this stock DOES NOT have to be filed to sell, it could have been sold at any time after the placement. The question is, the stock last Setp. was between $1 and $2 and 4.2 million shares of FREE trading stock was issued at .20. Most financings are done with a convertable feature that would convert at a 30% discount to the bid over a five day period. Obviously, one of two things has happened 1) the company made a big mistake and got hosed or 2) there is a reason why they gave someone an 80% discount on the stock that is free trading. You knew that stock would come right out. Glenn, give me those terms and I will give you a million tomorrow. But you won't, so why did you do it then? Not busting your chops, but as a shareholder (today) I am asking a simple question as to the reasons a transaction such as this was done. Also, since the filing of the form 10, how much more was raised and what were the terms? Rule 504 changed right after you filed the form 10 so was there another 504 done after the form 10 was filed with free trading stock and if so, at what price? Were any convetabls or equity lines arranged through any entities to raise money? What is the current float (free trading) and the current # of outstanding shares? What is the current burn rate of the company and how much cash is on hand? If you don't want to answer these questions, when is the next Q going to be filed? Thanks, ICE
