"You may be right, but I'm not sure. By my calculation the warrants
should be callable on Feb. 1 assuming the stock price holds up. They
have to give 30 days notice which takes us to March 3.
As one who holds both stock and warrants, my take on the best course of action is different. I still think the stock could pop to 25-30 (or
more) by March 3, and if so, my ROI will be a lot higher on the warrants than on the stock. So I'm going to wait until much closer to March 3. Then most likely, if I needed the cash to cover the conversion, I'd just sell the warrants and invest the proceeds in more VDAT. What I'm trying to find out, and now have my accountant working on, is whether I could retain more of the gain in my long-term account (I've held the warrants more than 12 months) by ponying up the cash than by following this strategy.
Anybody know how capital gains are taxed when you bought the warrant
more than 12 months before you convert it, and then sell it within 12
months? You put money in at two different points and your basis is
clearly the sum of the purchase price ($0.10 in my case) and the
exercise price ($6.00) less the call price ($0.05), but how much of the final gain is short term vs. long term?"
You make my point better than I. Some have likely been looking at covering or selling warrants. If there are alot of people advisors with large positions they may be needing to take some profits.
I think the rumors circulating around about someone taking an equity stake in the company are gaining more creedence. PR News is now doing simulcasts with VDAT
POMPANO BEACH, Fla., Jan. 7 /PRNewswire/ -- Visual Data Corporation (Nasdaq: VDAT), today reported that PR Newswire, the world's largest distributor of news releases to the media and financial community, has expanded its partnership with Visual Data and its majority-owned subsidiary, EDnet, Inc. (OTC Bulletin Board: DNET), to provide PR Newswire's 33,000 customers with live audio and video event broadcast capabilities via the Internet.
This combined with there previous announcement (see below) suggest a fondness may be developing between VDAT abd PR News. As they say a match made in cyberheaven.
SOURCE: Visual Data CorporationVisual Data Reports Expanded Distribution of Video News Wire Video News Clips to be Available on VideoSeeker Web Site
POMPANO BEACH, Fla., Nov. 24 /PRNewswire/ -- Video News Wire
Corporation, a wholly owned subsidiary of Visual Data Corporation
(Nasdaq: VDAT - news), today announced that as result of a recent
agreement between PR Newswire and NBC, video news clips available as
part of PRN.NewsReel through its exclusive partnership with PR Newswire, will soon be available on the VideoSeeker Web site. VideoSeeker, owned by NBC, is a leading on-demand Internet video service and can be found on the Web at www.videoseeker.com. The line of PRN.Newsreel products includes Video News Wire, PRN Video Clips, PRN Photos, PRN Corporate Profiles and Live Events.
Commenting on the news, Mr. Randy Selman, President and CEO of Visual
Data, said, ''The power and scope of Video News Wire will be greatly
enhanced by this new avenue of distribution. That sites like VideoSeeker deem it important to include content such as our streaming video news wires is a strong testimonial as to the potential impact offered to companies and organizations who take advantage of this powerful method of disseminating important news and announcements.''
Video News Wire brings to companies of all sizes the ability to take
advantage of one of the most advanced video technologies available on
the Internet. Standard written news release announcements are enhanced
to include a broadcast quality, television news-like video clip that
stays electronically attached to the news release and can be viewed from nearly any Internet location where the news release itself is available. With prices starting at about $700, Video News Wire™ represents one of the most economical and efficient ways to tap into the growing power of the Internet as a mainstream media channel.
Since its introduction, Video News Wire has been warmly received by a
wide range of companies and organizations, both large and small.
Included among the list of major corporations that have already used the service are Baxter Healthcare, Chrysler Corporation, Delta Airlines, H.J. Heinz Company, McDonald's Corporation, Yahoo and Warner Brothers. In addition, organizations such as Leukemia Society of America, National Wildlife Foundation, and Guiding Eyes for the Blind, have started using the service.
Visitors to the Internet are able to view and hear the Video News Wire
multimedia clips though the use of a standard Web browser and the
RealVideo player plug-in, which is readily available for easy and free
download. These enhanced news releases may also be viewed from nearly
anywhere the news release itself can be accessed, including the home
pages of PR Newswire's award-winning main site,
prnewswire.com, and its global Web site,
prninternational.com, as well as from the Video News Wire™
Web site, videonewswire.com.
PR Newswire is the world leader in the electronic distribution of
full-text news releases to the media and financial community. With 28
bureaus across the United States and five overseas bureaus in Frankfurt, Sao Paulo, Paris, Hong Kong and London, PRN serves the news release needs of public relations and investor relations professionals
worldwide.
Visual Data Corporation, founded in 1993, specializes in the production, marketing and distribution of full-motion visual information on various media, including digital video discs, the Internet, other on-line services and, eventually, interactive television. The Company develops full-motion video libraries containing short concise vignettes relating to various topics, including travel, education, business, health, fitness, medicine and consumer products.
Regards
Norden |
