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Technology Stocks : Rambus (RMBS) - Eagle or Penguin -- Ignore unavailable to you. Want to Upgrade?

To: Mohamed Saba who wrote (37569)	2/27/2000 10:36:00 AM
From: mishedlo	Read Replies (1) \| Respond to of 93625

To Mohamed. Again I am new but I would like to take a stab at your questions below: 1) No 23M shares + 9M short does not = 32M shares. One easy way of looking at it, is if the shorts all cover tomorrow (that is they all buy back the shares they shorted) there will be exactly 23M shares. Obviously, then, Dividends, if any go to the shareholders not the borrowers. 2) Yes, it is hard to know what the real short position is. If it is still 9M shares, however, and there is another runup (two big IFs), shorts will have to buy back at whatever price they can get to meet margin requirements. This will add more fat to the fire so to speak. <<Two questions about short positions: 1 - RMBS has some 23 M shares. Some have borrowed about 9 M shares and sold them short. I take that to mean that there are about 32 M shares owned by long's. When Rambus, Inc. sends out proxy notices for voting in the shareholders meeting, I suppose they send proxies to cover only 23 M shares. If Rambus, Inc. decides to pay dividend, they will pay only for 23 M shares. So: who, of the owners of the 32 M shares, doesn't get to vote and doesn't get a dividend? My proxy had the correct number of shares that I owned at the time. 2 - What is the significance of knowing what the short position was some ten or eleven days after the fact? Specially, when we don't know at what prices those shares were shorted? I appreciate the help. Mohamed >>