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Technology Stocks : (SGI) Silicon Graphics and Related Companies -- Ignore unavailable to you. Want to Upgrade?

To: MJ who wrote (987)	10/12/2006 8:04:04 PM
From: MJ	Read Replies (1) \| Respond to of 1015

Amazing that 15 shareholders were able to make enough noise that SGI, appointed CEO McKenna-Alix Partners-Mesterharm felt they must address stockholders' objections filed with the court. Stockholder objections were listed individually with their response to the objection in "their Plan" Why bother to do so in the bankruptcy court when the same-----SGI, McKenna, Alix Parners and Mesterharm never discussed "their Plan" with all SGI investors prior to going to court? The reason is what we call in mathematics "obvious". I congratulate these shareholders. They are an example of what grassroots can accomplish with virtually no organization. The Creditors and Debtors had everything paid for within the Chapter 11 process. Whereas these shareholders gave of their time and did their own research and writing and networking without the benefit of high paid lawyers. They acted informally as an unofficial committee. Requests were made for a stockholders committee; however, were ignored. See the objections made by shareholders in the final Plan. The Debtors allotted $ for numerous law firms, accountants and the Creditors Committees. Check out the BSI site for the docket items and read for yourself this saga. The Debtor, SGI, made deals with many creditors large and small----- agreeing upon a legal "cure". As the game is played------the Creditor files a claim; SGI et al object to the claim; the Creditor files an objection (protest)to the court; the Debtor, in this case, SGI-------meets outside of the court room or possibly in the local New York cocktail lounge and makes a deal----called the "cure". Then the agreement is filed with the court-------the Judge nodds approval and the Creditor is taken care of in whole or in part. No cure is offered to the SGI Stockholders------stockholders are ignored and treated as "impaired" owners of the company. Stockholders are once again ignored just as they have been since the last annual meeting of 2004. (Remember, we voted our proxies for 2005 and the meeting was cancelled and the promised meeting for early 2006 was never held------as well as McKenna's promised conference call with investors.) The only cure that stockholders have is filing complaints witht the SEC or joining a class-action lawsuit when and if one is filed. In a class-action, once again, the law firms take over and make their dollars and the stockholders might get pennies. If you live long enough you might see those pennies. Class actions filed in the 1990's are still in process. I truly wonder how SGI Corporate, past and present, can sleep at night and wake up with a clear conscience on the shabby way the SGI Shareholders were treated. SGI never came to shareholders, if they had and involved the shareholders in the decision making process it is my firm opinion that Chapter 11 could have been avoided. eom mj