My guess: CCI is unloading their first tranche of
Post# of 82672
I really do not know how these things work, but this is the conclusion I come to, based on the 8K explaining the deal with CCI and based on the 261 million increase in the OS last week.
I presume a little of last weeks dilution is probably other than shares given to CCI as there has been a little dilution most every week recently.
The CCI loan was about $197,000 for which they are being paid with shares to recover that amount.
They also get a 45% discount off the lowest pps for the past 30 days, so by my calculations:
If they sell 10 million shares at .0004 and get $4,000 from the sale, only 55% of the lowest pps for the past 30 days of .0003 applies to the loan so with that trade SFOR repaid $1,650.
If they were to sell the 10 million shares at .001 due to a rise in the pps because of good news, they would net $10,000, but still only $1,650 would be applied to repayment due to the 45% discount off the lowest pps in the previous 30 days.
If the pps drops to .0001, they only get $1,000 of which only $550 is applied to repayment to them.
If anyone knows more about how this type of deal / financing works, please correct me.