Ok, so I'm beginning to get really concerned here.

Ok, so I'm beginning to get really concerned here.  I'm trying to keep an open mind but it appears as though we are caught around an axle that just won't stop spinning in place.  In other words, we're going nowhere........and fast.  The pattern over the last few days has been high ask quantities, like 600 and 400 million shares, at the .0002 level and just when the .0001 bid level gets to a point where some building is taking place someone comes in and snatches those .0001's up.  The ask quantity may go down for a short period of time, but eventually, sooner rather than later, goes back up to the hundreds of millions level it was before the sell. 

I know we are all thinking conversion, and I totally agree with that sentiment, so I decided to break out the March quarterly report to try and gauge how much conversion is possible according to the latest filed discloser.  I must say after punching the numbers on my calculator I am seriously contemplating selling all of my shares and at least recouping some of my investment.  Here's what I calculated, please check my math and correct me if I'm wrong.

There are currently 695,732 shares of outstanding Class C preferred stock with each share giving its holder the right to convert (more on that in a minute) that share into 1 million shares of common stock so, in this case, 1 = 1,000,000.  Now when we multiply the 695,732 times 1,000,000 we arrive at a staggering 695,732,000,000 or, 695.732 BILLION shares that can be converted by those Class C shareholders when the restriction period has passed.  Taking into account there are already 5 BILLION shares of common stock outstanding, that brings the total number of common shares that could trade on the open market at some point in the future, 700,732,000,000, or 700.732 BILLION shares.  I'm still trying to figure out what the, "preferred shares issued under this agreement contain the appropriate restrictive legend" means so I will have to do some more investigating.  So lets apply this to some actual numbers.

Let's say you own 50 million shares of common stock, this would equate to around a .00007, or .007% ownership in the company (50,000,000 / 700,732,000,000).  If HIMR were to land concessions totalling $1 BILLION your share would be approximately $70,000.  Again, if my math is correct, this was a real eye-opener to me.

I'm sorry to say this, but I'm really beginning to think Mr. Meier is referring to the preferred shareholders when he talks about building shareholder value.  These guys have "preferred" shares for a reason.  Although they are a publicly traded company I believe they have structured their stock in such a way that you will only reap the benefits of this company if you a true insider.  They might as well be private given the fact that approximately 99.28% of their stock (695,732,000,000 / 700,732,000,000) is held by "preferred" individuals our cumulative 1 BILLION shares (just an estimate) really don't amount to anything when considering the bigger picture.  Think about it, NorthCal is a private company who has been in bed with HIMR for a long time.  We've always speculated that NorthCal could buy HIMR at some point and wondered why they were not buying shares in HIMR.  Why buy shares or buy out the company when you can just absorb the handful of true owners into your company, let the HIMR stock be diluted and eventually become worthless, I mean were only .0001 away from that now, and be able to have your cake and eat it too.

As always these are only my opinions and no one should act upon the information I am suggesting here.  I just wanted to share my current thoughts with everyone.  If we do not get some definitive answers soon I am going to start unloading.  If my scenario comes to fruition all I have to say is shame on you HIMR for allowing us to believe in you and making us feel as if we were a part of something special.