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Gold/Mining/Energy : Repap (RPAPF) -- Ignore unavailable to you. Want to Upgrade?

To: Dennis Latchum who wrote (326)	1/10/1999 11:10:00 AM
From: pthomaso	Respond to of 485

That's a reference to the orgy of options given to the top few mgrs (most to the CEO) that are exercisable at 14 cents. My recollection is about 50,000,000 shares, issued a year ago when the stock price was about double that level. A steady plunge ensued down to, and through, the strike price. Repap has been well below it ever since. The dilution of stockholder equity at that point was a terrible decision at a delicate moment for the company's recovery from one of Canada's all-time record equity destructions(well above 95%). That Board give away was clearly not in the interest of the company, its workers, or its stockholders. Views to the contrary are welcome, but where I come from losing teams are rebuilt, not rewarded.

To: Dennis Latchum who wrote (326)	1/10/1999 1:51:00 PM
From: pthomaso	Read Replies (1) \| Respond to of 485

Dennis: Please allow me to correct the record on the previous reply. My recall is accurate on the context, but the numbers aren't right. The options were at a strike price of 23.5 cents according to one of my early 1998 posts - - and at the time the stock was in the thirties and seemingly headed north. The options given to Larson totalled 18,000,000 shares. I don't recall the other amounts, but they were less on a per-person basis. All of this was hidden deep in an SEC filing at the time. It received some press comment and, in my humble opinion, contributed to the nearly-immediate reversal in price. In hindsight, that now seems to have been inevitable anyway, but the equity dilution plopped on the back of stockholders that had suffered a decline from the multi-dollar levels of the previous year didn't pass my smell test then, and even less so now. I believe the main posts were put up on the Repap Yahoo site - - that's now gone with the delisting by NASDAQ. So, to sum up the correction, the depressant effect of the options will show up if and when the price gets over 20 cents, not 14. Apologies. Again, if anyone has a better take on this, please add it to the dialogue. PT