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.

Strategies & Market Trends : Roger's 1998 Short Picks -- Ignore unavailable to you. Want to Upgrade?

To: Oeconomicus who wrote (11642)	7/17/1998 3:24:00 PM
From: CalculatedRisk	Read Replies (1) \| Respond to of 18691

Bob, re:TAVA. Thank you for your response and excellent explanation. In layman terms (ignoring fees & complications): 1) TAVA borrowed $4M in cash. 2) TAVA granted lender options with a "value" of $315K. 3) TAVA will pay back $3.685M in cash, PLUS 4) TAVA will pay 11.5% interest (in cash), PLUS 5) TAVA will write-off (as non-cash interest expense) the $315K. 6) TAVA's paid in capital should have increased $315K. Is this correct (in simplistic terms)? Best Regards, Bill