Example of a Company diluting its shares to help cover urgent company expenses..but beware of this procure if your stock is or about to do this..Its the Broker House that dilutes the stock for the Company..This happened to RFMK last week and took the the stock down as well as caused a panic..here is my story of what happened…jp Well that’s one way to look at..but in a Business aspect way of looking at it, its is the only way to word it..a business has to always keeps its options open and keep the worst case scenario/option for the company of selling stock option as a last resort,but its still a tool to be used when operating a company..one never should say we won’t do that again but as he worded it was covering the company’s a$$ as to if they need to raise the capital when the company investment capital is low or limited then they have to use this tool to raise capital..keep in mind here that no company wants to give their shares away at a lower price to raise capital..almost like a hard money loan all the way around if you think about it.reserves are are ment to be used for investment capital and emergency funds. but seeing that they are going to market with ” contracted Installments of their produced product next week and need some capital to complete this agree and get paid..well they did it by not borrow from the loan sharks but by selling some of their own assets as in Stocks..the problem here was not them doing this but in the way the Broker handled the transitions into the market.. that’s what we the investors and Tom are pissed about.which also explains the big dip in the last few days..i’m sure most of you saw how they did it by asking many points below the current ask at their time of entry..that really pissed me off too. example ask was .005 and their Broker would come in at ask of .0045…5 clicks below the current ask..that drove down the bids and caused a panic as they kept entering lower ask 3 to 5 clicks below the ask at that time..dirty pool if you ask me..but this is what drove the stock down in the last few days of trading..imo….ok..well that done and over with,,the stock will recover and we will see this back on top in few short days if not sooner…Blue

Part 2:

i’m looking forward here and hope that Tom and many within the comany learned the lesson on how not to dilute shares into the market as they did this past week in the beginning that caused the shares to tank and created a Panic..the upside to that for me was buying more very cheaply in my quest for profit..but i’m sure it pissed off many long positions/share holders as it would me as well…But that’s water under the bridge now and we need to look forward as we begin a new week ahead..The Stock as settled down to where it was prior to that move down and we are seeing some great accumulation here..with that being said I am looking forward to the news that Tom stated in the middle of this past week that will rock our world and the stock as well…till then watching and waiting…peace out…Blue

Source: me…Bluewaters2u

Comments: See above…

 

 

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