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To: Joe Copia who wrote (353)	3/3/1998 8:34:00 AM
From: Mr. Jens Tingleff	Read Replies (1) \| Respond to of 717

IMO - yes they can issue those 10M - IMO also OK to do if they need the cash. (For developing the company of course!!) The retired 2M - would it then be eg. Sold back to the company from one of the leaving managers? Kr Jens

To: Joe Copia who wrote (353)	3/3/1998 10:02:00 AM
From: BlackStar	Read Replies (2) \| Respond to of 717

Jens. as far as I understand retired means dead/put out of commision/etc. some more questions are, if 50,000,000 shares are authorized and ~ 40 million are now outstanding, does that mean they can "print" (tmex's word) 10 million shares? The TA is supposed to keep track of how many shares issued from a company at any given time. I am not sure if the TA performs any float changing things. I have heard the term 'DTC' or some such mentioned in connection with, f x retiring shares. I hope someone can fill me in on that. As long as Zulu has a majority share in the company they can issue shares up to but not above the maximum authorized. As far as I know a company can under no circumstances issue more shares than maxAuth. This means that if Zulu decides to 'print', ie issue, 10 mil more common shares there may be a 'problem' if somone with preferred wants to convert. As I understand it the conversion is blocked until either shares are retired or the maxAuth is raised. This is how I understand it. The retirement of shares is usually a good thing as that reduces float, outstanding shares and increases each shares book value. That would be the best case right now - that NETZ starts to do some pro-investor things.

To: Joe Copia who wrote (353)	3/3/1998 11:44:00 AM
From: slipnsip	Read Replies (2) \| Respond to of 717

"Jens. as far as I understand retired means dead/put out of commision/etc. some more questions are, if 50,000,000 shares are authorized and ~ 40 million are now outstanding, does that mean they can "print" (tmex's word) 10 million shares?" Authorized, means that the board and the shareholders have already approved the potential dilution. These authorized shares can be issued "printed" at will. I still hold that I believe there are 1 mil common outstanding per S&P. Gotta look at the worst case scenerio.