Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : Arcon Energy (MIDL Presently) The Ultimate Sleeper -- Ignore unavailable to you. Want to Upgrade?

To: Dusty who wrote (524)	5/24/1998 8:55:00 PM
From: SC Anderson	Read Replies (3) \| Respond to of 4142

This may be a dumb question, but I've read the 5/18 release 20 times and I'm still not sure what it is saying about the existing preferred conversion ratio. It is specific re: the dividend at 35 for 1. "This dividend will automatically convert to 35 shares of common stock on Oct. 1, 1999, whereas the existing preferred A will automatically convert on Oct. 1, 1998." Are the existing preferred converting (those on Oct 1, 1998) at the same 35 common for 1 ratio as the dividend preferred? I guess part of my problem is that at 35 to 1, I'm coming up with lower avg common share prices than I've seen posted here. For example, if so, 100 shares of P @ $30 ($3000 invested) w/ dividend ultimately becomes 5,250 shares of common (100x35=3,500 on 10/1/98 & 50x35=1,750 on 10/1/99). $3000 divided by 5,250 shares equals avg share price of .5714. Taking the dividend into account, the current price differential thru Friday would actually be 52.5 to 1, P vs. common. What am I missing here? Steve