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Microcap & Penny Stocks : TNRG Tianrong Building Materials -- Ignore unavailable to you. Want to Upgrade?

To: john denton who wrote (893)	4/1/1998 3:09:00 PM
From: Jack of All Trades	Read Replies (1) \| Respond to of 9824

John, You got BD right he was selling into the buying and killed the run. Selling today is from what happened yesterday. IMHO

To: john denton who wrote (893)	4/1/1998 7:24:00 PM
From: Sigmund	Read Replies (3) \| Respond to of 9824

I have no special source of information nor have I done a lot of DD. But here is a more detailed explanation of my thinking re the two areas where I have previously commented. 1. On canceling of shares. If someone legitimately owns shares I don't understand how they can be cancelled. If someone cancelled my shares, I would get a lawyer. If the shares are not legitimately owned, then how does cancelling them make a difference? If not owned, they can't be sold so they are not part of the float. Now some shares may be in a limbo state I think usually described as being in escrow. If the terms for getting them out of escrow are not met, then they don't get out and I suppose get cancelled. So I can understand that type of thing. Is this what happened? I really don't know. I would look at shares not coming out of escrow as something that did not happen rather than a cancellation of something that previously happened. I would look at it as the float not getting larger rather than the float getting smaller. Perhaps it is a small difference, but that is why the PR release turned me off rather than turned me on. I really raised this as a question rather than a strong opinion on my part as this is not something where I have more than a layperson's expertise. I was hoping that someone on this thread could explain it to me so that I would understand it better. 2. The real estate deal. I have no idea if it is a good deal or not. Personally I like real estate right now but not necessarily somewhere where I can't easily take a trip to see it for myself. My only point on the real estate is that if you are talking about bonds, you need to talk about the interest rate payable on the bonds. Its like a mortgage. If you personally bought a piece of commercial property, you wouldn't just look at the excess of rents over heat, electricity, maintenance and other operating expenses which the former owner had, you would also look at your payment to your friendly mortgage banker. That would determine your cash flow. And you wouldn't buy a $200,000 house with $10,000 down and think that you just increased your net worth by $190,000. Buying property at fair market value doesn't increase your net worth immediately. If the property goes up in value or proves to be a gold mine for rental income, that is something else but time will tell on that. Also on bonds, the conversion feature may not be significant. You may get a mortgage from a lender that insists on the right to buy your $200,000 house for $500,000. That doesn't mean the lender thinks it is worth $500,000. I would have liked to have had more details on both the performance of the property (square foot rentals and trend, occupancy rates, expenses, condition, capital budgets, taxes etc) and the terms of the bonds (interest rate and which currency it is denominated in) and then I might have been better able to assess its contribution to the company. Please don't take anything I say as being negative on this company. It may be making the right moves and perhaps it will be very successful. I was just responding to what I thought were rather naive comments by some of the posters or alternatively misinterpretations by myself of what was posted. It was just part of my own DD process to see if I wish to be long or short on this stock. I have not formed an opinion on this as yet so don't rely on anything I have said. Everyone must do their own DD and make up their own mind.