TSI ID
I had no intention of posting this until I had more time to think it through but it is Saturday night and only those with time on there hands will read this.
There is a suggestion in the agreement that it is front end loaded (ie 2008). . You do not want to know how I came to this conclusion.
Ehv8tors post from the San Diego Business Journal suggested the price was $24 million. This would require a significant s/p increase. I am also assuming that they are talking cost to Sirit, not s/p appreciation after issue.
By April 1, 2008 we should be selling at anywhere from .30 to.50 cents. Which means Bielas would be paid between 3 and 5 million.
If the
Diego Business Journal report is correct that means Belias will get an additional 19 to 21 Million Dollars..
He can get this from share appreciation before issue or a lot more shares.
It would appear that he can only exceed 10,000,000 shares in 2008 and by how much I do not know. It will not be determined by s/p but by what RSI does with respect to gross margin.
Bielas is anything but stupid and Sirit is not about to give away the ship. (ie He should not get more than 20 %.)
Both are probably hoping he gets another 10,000,000 shares at the end of 2008 and he can only do this at level 4 and 5. That means RSI has done
extreemly well and the s/p of Sirit has gone up SUBSTANTIALLY. Its a Win Win.
If he ends up with 25 million shares and Sirit has 175,000,000 issued and outstanding that will give him a little under 15 %.
It would also require an average price per share of .96 cents over the next 21 months but because he gets the first 10,000,000 at only 30 to 50 cents (?) he will have to get the rest at well over a dollar and the majority of these shares will have to come in 2008.
C'mon 2008