This is to be expected. The private placement people likely included many that had purchased shares during the $4.50 era.

Having a four month hold on newly acquired shares does not impact their ability to dispose of existing holdings.

They are able to sell at the current bottom and (a) log in a tax loss that can be carried forward indefinately and (b) generate cash to pay for their recent purchases.

If this low price carries on into the New Year, then we should get out the worry beads. For the moment many companies who are at the low end of their price range are going through the same scenario's.

Even though the tax loss deadline is at the latest December 28 (although I have heard the 24th quoted) next weeks trading is virtually meaningless. All the main players are away from their desks until the New Year.

I get the sense that most of our participants are holding for the long time. This current low share price certainly reflects poorly on the year end statement but should be back in the green come January.

Onward and Upward.