News today! ==== Effective August 3, 2010, Spicy Pickle Franchising, Inc. (the "Registrant") entered into an employment agreement with its Chief Executive Officer, Mark Laramie. The basic term of the agreement extends through April 12, 2013 and the agreement provides for an annual base salary of $225,000, the issuance of 3,000,000 shares of restricted common stock of the Registrant and the granting of five-year options to purchase up to 3,000,000 shares of the Registrant's common stock at $0.06 per share (the closing price on August 3, 2010). Options to purchase 1,000,000 shares vest April 12, 2011 and the remaining options vest April 12, 2012. ==============
I do think the 3 million shares PLUS .06 options on an ADDITIONAL 3 million shares is EXCESSIVE.
Just a flat $225,000 is in the ballpark. jmho. This is a penny stock company.
Oh, wow, what a scam. What a slap in the face to shareholders. I could swear I read somewhere that his excercise price was .12 or so in the last PR. I guess he whined and a squeaky wheel got some oil.
Never mind the poor guys that invested at a buck. Their interests are not aligned. He won't be fully vested for two years from now, so I don't see any incentive for him to really care about the price of the stock right now.
Their last 10-q says that they will need to seek more funds this year in order to pursue growth, and they can only do that through issuing more shares. That's more dilution.
I would suggest people not buy over six cents. I imagine they can turn sentiment down the road, especially on low volume. I think Laramie would like to clean house and make at least a million bucks, but as I said above, he won't even be fully vested for two years.
So there is plenty of time to wait for three cents or even one cent. I may bite at three cents, but it's only to depend on the greater fool at this time. I do not believe in the strategy at all.
I suspect that this is a manifestation of the Quiznos culture. I mentioned this as a concern of mine in a previous message. Quiznos screwed its shareholders over and its franchisees. It took a class action lawsuit and a judge to side with shareholders to get Quiznos to do the right thing.
I'm sorry guys, but what I see is just greed. You can perhaps ride on their coatails, but they can reset their own exercise prices and whatever they want with controlling votes. If it comes down to them or you, they will pick themselves. This isn't the days when the captain goes down with the ship as in the movie Titanic. This is the disrespectable OTC board where women and children are thrown to the sharks.