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To: Joe Stocks who wrote (43537)	9/19/2002 3:12:00 PM
From: Larry S.	Respond to of 53068

Dan, the distribution of the RRI shares from company stock to shareholders of REI will increase the public float of RRI shares. It has to. Previously, the REI owned shares of RRI were "treasury stock" or whatever. larry

To: Joe Stocks who wrote (43537)	9/19/2002 3:18:19 PM
From: DanZ	Read Replies (3) \| Respond to of 53068

You're right. The float will increase. The number of outstanding shares will not increase. I had it right in message #43533 and used the wrong term in message #43536 because I misread your post. Even though the float will increase, you don't know how many of those shares will hit the market. Therefore, you don't know if the supply will increase. What makes you think that a significant number of REI Shareholders will sell their RRI at 3.50? The arbitragers have slammed the stock into the ground, and I don't think many people will sell it at this price. An increase in the float does not necessarily mean an increase in the supply. By the way, I am defining "supply" as those shares which are actually put up for sale. You might have a different definition.