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Non-Tech : All American Food Group(AAFG) -- Ignore unavailable to you. Want to Upgrade?


To: Loren S. who wrote (324)8/30/1998 5:29:00 AM
From: Mr. Jens Tingleff  Respond to of 618
 
Loren, With all due respect, try change the name and the two figures 8 / 20 - And your post will fit to more than 50% of OTC-BB stocks.

One thing though - Dilution does not always come with issuing more shares - In fact issuing shares is the least cause for dilution.

- Not cutting unnecessary costs brings dilution.
- Bad mergers brings dilution - (Issuing shares for acq.and not having done a good deal in acq. eg. not having mergered into line of business)
- Taking loans for a merger or ongoing business rather than issuing shares brings dilution, as there's more costs connected with loans.

Money is one of the important ingredients, an energy, for growth - Investor put money into that growth hoping to get better gains than when putting money in the bank or secure equity.

Kr
Jens



To: Loren S. who wrote (324)8/30/1998 12:42:00 PM
From: WEBNATURAL  Read Replies (1) | Respond to of 618
 
There are 141 pages to go thru on the last report SB-2 I'm going to go back and do a more indepth pass for more info but in answer annd in addition to a question from you... A closer look at preferred to common convertables past and present is in the works.How the shares from the 'Island are added are still of interest. How shorts are affected as Jens mentioned on those shares and others will be of interest,too
*****

In the Edgar report as of 7/31/98 (pg38)1,867,661 shares were
already there. The 8/24/98 prospectus (same SB-@ report...pg 3) shows 8,045,444
common shares were available. The preferred shares the guy owned
in the 'Islands' were converted into common. If these are part of the
8 Mil. then he figured he'd have a better chance on the open market
long or short term (with the 30% discount). That in itself give me
pause to think about a increase in the near future in our stock prices.
If he plans to dump them he would lose money, right. Or can he do
anything in the shorting area since he has control of about 3 million
shares? All of the 5,394,343 (pg.40)outstanding shares of the
company's common stock are freely tradeable according to the
report. The report in the same paragraph gets into "sales of
substantial amounts of common stock in the public market, or the
perception that such sales may occur, could have a material adverse
affect on the market price of the Common Stock". Also the
sales(same paragraph) would delute "the voting power of Common
Stock purchased in this offering".
It appears that anyone signing their names to this report would know
that we who read it see that those people are being watched by the
stockholders. I would think all this is being considered by
management before and as we discuss this report.
Knowingly diluting a stock is very important to all from leaders to
stock holders. A person in charge should have a good reason. I
hope that the earnings report and future days in the sales would
show this.
I would hope that the new man from Boston is busy with our current
leader moving us back as they say. One new store in 6 months as
shown in the report can be bad as well as good. I would expect for
a better report to show on earnings with updates on more openings.
I plan to buy more shares after the opening bell and will be
interested in the future brought in by current management.