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Microcap & Penny Stocks : KAFE (Country Star Restaurants) -- Ignore unavailable to you. Want to Upgrade?

To: wfrazee who wrote (436)	12/5/1997 4:30:00 PM
From: ChrisJP	Respond to of 876

Bid at 1/32: Day 5. Well, I guess this means that Rubin et al. can begin converting what's left of what they have beginning on Monday. A valiant attempt by all of use to derail their plans, I must say <grin>. LOTS of big block trades (I'm assuming MMs) again today. Any guesses as to what it all means ? Any chance that Frank will come out of hibernation ? Have a good weekend, Chris

To: wfrazee who wrote (436)	12/5/1997 5:20:00 PM
From: david m. uhler	Read Replies (1) \| Respond to of 876

Wfrazee Under the terms of the conversion they may short the stock(against the block of shares that they will recieve in conversion). The conversion price is based of an average closing price of the stock the previous 5 days. So if they short the stock (causing the price to drop), they will stand to redeem more shares. Since they get the stock at 80% of that average price, they will automatically recieve 20% return on their money(less any cost to sell). If the stock rebounds after conversion, they could make a whole lot more!!! Regards Dave U PS This is an off the cuff explanation of the facts. Please do not hold me accountable for exact terms.(:=)