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.

Technology Stocks : Thermo Tech Technologies (TTRIF) -- Ignore unavailable to you. Want to Upgrade?

To: Fate who wrote (4844)	10/16/1998 8:51:00 AM
From: madman	Respond to of 6467

Check your math.100 to 1=100 shares.but Rene and gang each 1,000,000 of watered down issued to insiders =10,000 shares.Guess who STILL makes out.And we complain about Slick Willy. (Last years 50,000,000 shs.would be a new total of 500,000 shares,but the new 82,000,000 shs. issued would be 820,000 for the boys at 1 for 100(IMO it will be more like 1 for 10,for a new grand total of 15,000,000 by the time they get done watering this one down)

To: Fate who wrote (4844)	10/16/1998 9:10:00 AM
From: veritas	Respond to of 6467

Fate: You are absolutely right in suspecting that a reverse split would not help you or any other existing shareholder. A reverse split is universally seen by the market as the sign of a weak company and management. The statistics on them are awful. In nine out of ten cases, the share price plummets by at least 50% after the split!! I've been involved in three companies where it was done and in every case it was a disaster for the shareholders. Of course someone like Rene might favor it because he could then start diluting all over again, pulling in a new round of suckers. Did you know that he's already done one reverse split in the past?? Look at what happened to those shareholders. Basically,the existing core of shareholders are eviscerated,losing any effective leverage in the stock. Once a company gets on a sound management and operating footing,there are far better ways to reduce the float. Don't be fooled by any management touting a reverse split. It will be a disaster for all of us. And don't buy the song and dance that we have to remain on NASDAQ at any cost. There are any number of good companies trading on the Bulletin Boards at several dollars per share. If company is being properly run and is moving ahead, believe me investors will find it. Sound management is far more important than where you are listed. And you can always come back onto NASDAQ when things get turned around. A reverse split is a "down and dirty" way of artifically and temporarily raising the share price that puts a knife in the backs of the shareholders. Don't be fooled. Regards, Veritas