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Strategies & Market Trends : Mr. Pink's Picks: selected event-driven value investments -- Ignore unavailable to you. Want to Upgrade?

To: Mama Bear who wrote (2582)	9/3/1998 9:46:00 PM
From: Y2k_fan	Read Replies (1) \| Respond to of 18998

Of course, I wish that I shorted any stocks at higher prices. My point is, you are late now and if you are sure that it's going to tank. The opportunity is still there.

To: Mama Bear who wrote (2582)	9/3/1998 9:49:00 PM
From: TRIIBoy	Read Replies (1) \| Respond to of 18998

Barb, Are you short GMGC? do you know when the convertible is set to go off and the approximate waiting period for shares to be diluted?

To: Mama Bear who wrote (2582)	9/3/1998 10:09:00 PM
From: RockyBalboa	Read Replies (1) \| Respond to of 18998

GMGC Series C Convertibles... ... are floorless and contain a hefty PP for potential acquirers. "The number of shares is calculated by dividing the liquidation preference by the lesser of ($19.45 or the avg of the four lowest closing bids of stock prices within 20 trading days)." Which yield just more stock for a given amount of preference. www4.edgar-online.com (This is the last S-3 from Jul 23 - part of the Risk Factors) POTENTIAL DILUTIVE EFFECTS. The number of shares of Common Stock which may be issued upon conversion of the Series B Shares is dependent upon the trading price of the Common Stock at the time of conversion. If the lowest sales price of the Common Stock in the five trading days prior to conversion is less than $3.53, the number of shares of Common Stock issuable upon conversion of the Series B Shares will increase. The number of shares of Common Stock which may be issued upon conversion of the Series C Shares is also dependent upon the trading price of the Common Stock at the time of conversion. If the sales price of the Common Stock decreases, the number of shares of Common Stock issuable upon conversion of the Series C Shares will increase. According to the 10-k from Aug 14 (States the Series C Conversion) >>>> "Subject to adjustment in certain circumstances, each share of Series C preferred stock is convertible into shares of the Company's common stock at a conversion rate obtained by dividing the liquidation preference by the lesser of $19.49 or the average of the four lowest closing bid prices per share of the Company's common stock for the 20 trading days prior to the conversion date which, as of June 30, 1998, was $10.77. As of June 30, 1998, a total of 2,938,000 shares of the Company's common stock were issuable upon the conversion of the Series C preferred stock and associated warrants, representing 6.8% of the Company's outstanding common stock and common stock equivalents on a fully diluted basis. However, with limited exceptions, the Series C preferred stock is not convertible into common stock until five months after the date of issuance. In certain circumstances (including upon a change of control transaction, the transfer of substantially all of the assets of the Company, or a tender offer made to and accepted by holders of more than 50% of the outstanding common stock of the Company), the holders of Series C preferred stock may require the Company to redeem any or all of the then outstanding Series C preferred stock at 130% of the liquidation preference and, in more limited circumstances (relating to the registration and listing of the common stock of the Company issuable upon conversion of the Series C preferred stock and the Company's timely conversion of such shares), may require the Company to redeem any or all of the then outstanding Series C preferred stock at the greater of 130% of the liquidation preference or the then applicable closing bid price per common share equivalent. Upon submission of Series C preferred stock for conversion at a conversion price of less than $5.00, the Company has the option to redeem any or all of such shares at 110% of the liquidation price. <<<< One word about a msg I received from Kurt. techstocks.com He states: "But, GMGC is not highly leveraged. Look at the balance sheet." I think, not only the German "Handelsgesetzbuch", but also the GAAP classifies preferred (stock) with adherent repayment claims still as "debt" and not as equity as long it is not converted. Greetings Christian

To: Mama Bear who wrote (2582)	9/3/1998 11:09:00 PM
From: Ploni	Respond to of 18998

My last short of AVNT was at 15, and I was caught by surprise when it was pumped up overnight. In fact, I was surprised that I was the only one who was still short. I covered half at 25, wiping out my hard-earned earlier gains made by shorting the stock and buying puts. I covered my remaining half a few days ago, making a little money. I'm surprised that the stock held up well during the 500-point crash, but is eroding now. I think there is a huge amount of manipulation in this one. It's too bad that I was frightened into covering half when the stock soared. I really think there is something to the theory that when obnoxious longs start saying, "The stock is going to Pluto," it really means the end is near. Speaking of lost opportunities, I was thinking of shorting ALTIF a few months ago, and mentioned it on Roger's thread, but no one knew much about it. There's something about their business that sounds too much like alchemy...