If Iunderstand their offering correctly, they are expecting shareholders to commit themselves to buying shares at an unknown price. You can't change your mind after Cornerstone receives your agreement to this offering. I think I'll pass on this and gamble on buying shares when they drop in price as they normally do.
Hi bear, good point. But for those who insist on being long CLM and are eligible for the rights offer, may want to consider a strategy of selling their current shares and exercising the rights at a discount in order to lower their average pps.
If the price @COB on 12/10/10 were the same as today's close of $9.90, then you could buy CLM for $8.91 for those shares that you held a rights offering on (1 sh. for every 3 sh. that you held on 11/2/10).