RE: RE: Rights neotrader:Thank you for the insight. But the question is why would anyone exercise their Rights if the common stock is trading below this so-called set value for the Rights? I have never seen a situation like this before. Wouldn't it be incumbent upon Management to get the common shares up to a value where it would be favourable for a shareholder to exercise his/her Rights? If the stock was at least .20cents, then I could see the market setting a value of about .10cents on a Right and there would be some advantage for a shareholder to exercise their Rights and for non-shareholders, they would have to pay something more realistically priced to be able to capitalize on this opportunity, but as it stands now, there is no advantage for shareholders to exercise but instead, only to sell their Rights and maybe buy in on the open market. I am currently involved in a Rights Offering now and the price for the Rights, when they hit the market, was set by the auction process through the Bid and Ask and the natural forces of supply and demand...not by any regulatory authority. This is certainly a strange one.
I believe that the common stock has finally bottomed-out and what is needed is something to get the price of the common stock back up to a value which more realistically represents the intrinsic value of the assets etc. Management must do its part here and get going on promoting this Company, given the high value now placed on steel, especially in situations like Japan where reconstruction will require mountains of it.