Wow, is this stock a "spinning wheel" roller coaster ride or what? You feel like you're at the top one day, but a few seconds later, you realize you're at the bottom. However, you do see that the top is only a couple seconds away. I hope to not get out at the bottom like the spinning wheel though. Just kidding.
So, what has changed since I last updated you guys:
1. Rufus Paul Harris (RPH) has resigned or been voted out of the board. RPH on SubPennyRadio said someone in his board gave some document to SEC that he had never seen before. Nobody stepped up in the board to claim who did it, so Rufus resigned. The company's update to shareholders says Rufus was voted out of the board. Either ways, it is my understanding that the company is still in good terms with Rufus.
2. Since Rufus left, Mike Alexander (MA), the CEO of FHAL has taken the driver seat as the CEO. Apparently, according to posts I read on HSM, the company had filed documents properly in Georgia but is registered in Delaware. Thus, Mike Alexander is creating his board all over again and has appointed Romeo Venditti as Executive Vice President of Global Investments so far. There are no other board of directors at this time.
3. According to RPH on SubPennyRadio (SPR), 10Q is due on Nov 15, 2006.
4. The court date on Nov 7 didn't happen. Instead, investors who went to Atlanta were taken out to a BBQ with Mike Alexander, Ben Stanley and RPH. It is my understanding that Rufus and CSHD have both signed injunctions and given the judge has given the SEC 30 more days to investigate.
5. The stock is trading in grey market around $0.50
My Analysis
* I understand that in grey market, there's no market maker, so price here doesn't make much sense to me. Also, I don't believe a stock in grey market can be shorted. Shorts may be covering here, but the volume has been average the last few days, which doesn't confirm if shorts are covering.
* I believe strong believers are using this as an opportunity to buy.
* For people who are averaged at $2, if we get 6 additional shares, then your average becomes $0.286. This is given the fact that the company will still respect the 6 additional shares offer and file the appropriate filings to make that happen.
* If SEC finds any fraud against the company in regards to the bonds, i'd treat this company as any penny stock out there. However, if the bonds are real, these prices are way too cheap. If you've done your DD, you either believe in the bonds or you don't.
Walk away till there's a PR or till the 10Q comes out. That's what I'm doing.