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Gold/Mining/Energy : Tracer Petroleum (TCXXF) -- Ignore unavailable to you. Want to Upgrade?

To: James Strauss who wrote (560)	4/4/1998 10:29:00 PM
From: Jim Daly	Respond to of 1261

There just aren't enough outstanding shares to justify a reverse split.38 mil at last count. XCL had 600mil when they reversed to about 20 mil.. That one hurt. CPX has 3-400 million outstanding. Reverse splits are usually reserved for companies that are horribly diluted (which TCXXF is not!). Stock price is directly related to EPS and at a quarter TCXXF is fairly if not a little over valued. It's still below the break up value of the company there. A 1 for 10 reverse would mean that there would be only 3.8 million shares out there.. the volatility that would create is not in the shareholders best interest. A share price of $2.50 and EPS of .10 would do more harm to the shareholders than (and the company) than the little bit of wait and see stability that we have now. Nevermind the huge downside that would create for the long investors here. NO! NO! NO! 1 for 10.This move would be a straight line to a 2million dollar market cap and I won't stick around to see it.