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Technology Stocks : Osicom(FIBR) -- Ignore unavailable to you. Want to Upgrade?

To: craig crawford who wrote (7575)	7/17/1998 7:31:00 PM
From: Ploni	Read Replies (2) \| Respond to of 10479

Two people on RagingBull.com allegedly called John Mason at Osicom who alleged: a. that institutions wanted to buy but required the stock to be above 5 b. that they didn't understand why investors were made at them or thought a reverse split was a bad thing In my opinion, if true, this is complete and utter nonsense, duplicitous, deceitful, etc., etc. Laws need to be obeyed, but institutional rules are not law, and are made to be broken. It may be hard cutting through the red tape, but it can be done. To undertake a reverse split, which adversely affects all existing shareholders, because a potential future investor wants a reverse split made, is tantamount to robbing the existing shareholders. Everyone's shares will drop in value, but Bubba Investment Company will then be able to buy shares cheaper. Osicom may as well have sold a few billion shares in the Cayman Islands for a penny a share. This is garbage. EVERYONE knows that if you do a reverse split, the stock price drops 99% of the time. A 3-1 reverse split won't even guarantee the stock will remain above 5, that's how low it will drop. Even if they'd done a 10-1 reverse, it's possible the stock would have dropped from 30 to below 5. That's how devastating reverse splits are. No one but a complete and utter incompetent idiot would undertake a reverse split. The management of this company are liars: they have lied over and over and over again about the contribution of products; they lied about the sales of GigaMux units and then backtracked; and they continue to lie every day with garbage like this. In my opinion, these people have violated their fiduciary duties towards their shareholders. The man who proposed a class action suit should now indeed undertake it. Undertaking a reverse split is NEVER a legitimate business decision, it is ALWAYS an act of desperation by a dying company. How can professional managers have the nerve to claim to not be aware of that? "Gee, why do people think this is a bad thing?" Morons.