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Microcap & Penny Stocks : MIDL .... A Real Sleeper -- Ignore unavailable to you. Want to Upgrade?

To: Frank Fontaine who wrote (358)	11/17/1997 11:11:00 AM
From: Due Diligence	Read Replies (1) \| Respond to of 7039

Frank: You must have ate your "Wheaties " today!<g> Jimbo

To: Frank Fontaine who wrote (358)	11/17/1997 12:04:00 PM
From: C. Riley	Read Replies (2) \| Respond to of 7039

SOME MORE FACTS ABOUT MIDL THAT NO ONE HAS DARED MENTION... The following facts come directly from the 8-K filed with the SEC on Oct. 10. Here is the link if anyone wants to read it for themselves: edgar-online.com Seems no one on this thread has bothered to mention that New Departure was financed by issuing 70,000 shares of Series B Preferred stock which are IMMEDIATELY convertible at a rate of 150:1 into common stock. The Series B Preferred Stock is considered a common share equivalent and, therefore, MIDL is considered for purposes of applicable securities laws to now have an additional 10,500,000 common shares outstanding. Therefore, as of Oct. 10, there were approximately 17,184,077 shares of Common Stock outstanding. That was to finance the New Departure acquisition. Now, to finance the most recently announced acquisitions, MIDL is increasing it's authorized shares to 50,000,000. Others on this thread like to point out the public float of ONLY 1.2 million, but they never mention the whopping increases in shares outstanding which go along with each of these acquisitions. Each whopping increase in shares outstanding dilutes any future earnings. Does anyone really think that these acquisitions are actually going to be profitable in 1998? New Departure claims it's going to reopen its San Diego office -- that will cost money. New Departure claims its going to build 100,000 square feet of office and warehouse space in 1998 -- how much will that cost? This restaurant/entertain- ment company (that features "up and coming" - read unknown - talent) that PLANS to grow from 1 location to 16 in 1998 -- how much will that cost? And, how many restaurants have ever gone from 1 location to 16 in a year? Get real. Does anyone even know the name of this restaurant, ever even tasted the food there, or sampled the so called entertainment? Restaurants are a dime a dozen - and they tend to fail just as easily as they sprout up. This is the other side of the story which has never been discussed on this thread. So what if the public at large only holds 1.2 million shares when everything has to be cut 50,000,000 ways. Yes, if the holders of those 1.2 million shares overreact, the price will go up. But let's be realistic here. Due diligence requires the airing of all sides of a story. Don't you think it's strange that the MIDL hypesters never mention the 50,000,000 share problem? These are facts. No amount of hype from the MIDL hypesters on this thread can change these facts. They just don't want you to know about them. They want everyone to overreact so the price will fly high and they can cash out. Anyone else want to discuss facts about MIDL? Is there anyone on this thread in Las Vegas who can check out this restaurant/entertainment deal?