Question for employees

[anonymous]

I am sure this will be discussed at the employee meeting/conference call, but what exactly does a reverse stock split mean with secondary offer of commons ? And more importantly, how does this effect employees of the company. Any insight appreciated.

 

[anonymous]

I am sure this will be discussed at the employee meeting/conference call, but what exactly does a reverse stock split mean with secondary offer of commons ? And more importantly, how does this effect employees of the company. Any insight appreciated.

Just wait for the meeting as this will be discussed in detail prior to the earnings conference call. Will not effect the employees at all and will give company needed cash as part of the new restructure plan.

 

[anonymous]

your share at 80 cents becomes 2 shares at 40 cents apiece. It doesn't do a frickin thing to delay the death of the company

 

[anonymous]

Reverse stock splits increases the share price. Example you trade in 2 stocks at .74 for one stock that is 1.48. The company isn't any more valuable than it was before the reverse split. Whatever value it has is just distributed over fewer shares of stock, thus increasing the price. So a reverse split can generally be taken as a bad sign for a company.

 

[anonymous]

your share at 80 cents becomes 2 shares at 40 cents apiece. It doesn't do a frickin thing to delay the death of the company

You have no idea what you are talking about. This is a stock split not a reverse stock split. Maybe you shouldn't respond to things that you don't know anything about.