CompuServe Messages

"It closes at $1.00, so they resume trading on the NYSE." As far as I know, Commodore stock is not trading on the NYSE and the reason for this is because Commodore may have fallen below the minimum financial requirements to be listed. Thus, unless Commodore itself held a huge block of freely tradable stock in itself, the stock price makes no difference in their being restored to NYSE trading. RIght now, if my information is correct, Commodore is being traded only on the regional exchanges. A single sale at $1 is a possibility, but sure as heck not necessarily the start of a trend or anything. Commodore would have to announce some really major good news to create much of a demand for their stock. Even the presence of a buyer for the company would probably not make any difference in the price of the stock since such news would have to be disclosed publicly literally as soon as an agreement was reached. If Commodore stock starts trading at ever-increasing prices without any kind of major, favorable announcement, you can bet there will an insider=trading investigation. In terms of someone trying to acquire stock on the open market in anticipation of making some kind of offer, they have to start reporting to the SEC as soon as they accumulate 5% of the shares. I think Commodore has 33,000,000 shares outstanding, so someone would have to pick up 1,650,000 shares to get to that point – an incredibly huge buy for a stock trading on regional exchanges. Bottom-line: if there is good news for Commodore on the horizon, it has to be made public before or just about at the same time you see any significant uptick in their stock price. A single transaction at a buck doesn't quite fit that pattern, especially when the trading volume isn't known. Jerry