Can someone please tell me WTF was that surge to 3.30 in late dec was all about? And in big volume too. Talk about a sucker fake out move. There is always an inexhaustable pool of fools and their money it appears. I said bk in the first qtr of '04 back in dec and that forecast is still quite probable. If not, 2nd qtr is the end time for this pos for sure.
>> I said bk in the first qtr of '04 back in dec and that forecast is still quite probable. If not, 2nd qtr is the end time for this pos for sure.
The most likely scenario for FMK is that a debt for equity swap will be used to reduce their amount of debt. Of course, Chapter 11 is one way of effecting a debt for equity swap (old common is wiped out and some debt holders exchange their debt for shares of new common). Alternatively, Chapter 11 could be avoided, resulting merely in significant dilution of current common, but not a wipe out. The amount of expected dilution may already be priced in to the stock.
I was operating on the assumption that Chapter 11 could be avoided, but took my profits and ran when the stock hit about $2.25. Still, I got a nice payoff, investing in December at $1.26 and selling a couple months later for $2.25.
It will be interesting to see the earnings report and any announcements about debt.