{"id":1197,"date":"2009-10-28T09:13:00","date_gmt":"2009-10-28T13:13:00","guid":{"rendered":"http:\/\/blogs.northcountrypublicradio.org\/inbox\/2009\/10\/28\/more-stock-splits-at-hacketts\/"},"modified":"2009-10-28T09:13:00","modified_gmt":"2009-10-28T13:13:00","slug":"more-stock-splits-at-hacketts","status":"publish","type":"post","link":"https:\/\/blogs.northcountrypublicradio.org\/inbox\/2009\/10\/28\/more-stock-splits-at-hacketts\/","title":{"rendered":"More stock splits at Hacketts"},"content":{"rendered":"<p><span style=\"font-family: georgia;font-size:100%\">UPDATE: I received an e-mail from Tom Scozzafava, explaining the reverse split this way:<br \/><\/span><\/p>\n<blockquote><p><span style=\"font-family: georgia;font-family:Arial;font-size:100%\"><span class=\"687150722-28102009\">The reason I did this was because stocks under one penny are disadvantaged in  the marketplace for a number of reasons.  For whatever reason, &#8220;one penny&#8221; is  the low water mark, if you will.  That&#8217;s it.<\/span><\/span><\/p><\/blockquote>\n<p>Scozzafava also objected to my use of the word &#8220;lure&#8221; in the first sentence.  He has a good point, so I&#8217;ve changed it to &#8220;attract more investors&#8221;.    &#8211; DS<\/p>\n<p>Tom Scozzafava is trying to attract more investors to invest in Hacketts retail stores by artificially raising the stock price.  He executed a <a href=\"http:\/\/otcbb.com\/asp\/dividend.asp?sym_id=HCKE&amp;dDate=10\/27\/2009&amp;sDateType=ex_date\">1 to 50 reverse split<\/a> on Hacketts&#8217; stock (HCKE on &#8220;pink sheets&#8221; trading).  That means if you owned 50 shares of HCKE stock, now you own one.  The value is the same; the move just raises the price of the stock to draw new investors&#8217; attention.  Now called HCKI (you change the ticker symbol when you do a reverse split), Hacketts is trading at one penny.  That&#8217;s a fortune compared to its parent company, Seaway Valley Capital Corporation, <a href=\"http:\/\/ih.advfn.com\/p.php?pid=squote&amp;cb=1256736203&amp;symbol=SWVL\">which is trading at one-hundredth of a penny<\/a>.<\/p>\n<p>Scozzafava did this with Seaway Valley at least twice (once a 1:5 split, then a 1:1000 split).  A reverse split is <a href=\"http:\/\/en.wikipedia.org\/wiki\/Reverse_stock_split\">widely seen as a warning sign<\/a> to savvy investors.  But hey, <a href=\"http:\/\/www.northcountrypublicradio.org\/news\/story\/14357\/seaway-valley-amp-hacketts-a-special-report\">there have been tons of warning signs<\/a>, and people have still put their money into Seaway Valley.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>UPDATE: I received an e-mail from Tom Scozzafava, explaining the reverse split this way: The [&hellip;]<\/p>\n","protected":false},"author":11,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[1],"tags":[],"_links":{"self":[{"href":"https:\/\/blogs.northcountrypublicradio.org\/inbox\/wp-json\/wp\/v2\/posts\/1197"}],"collection":[{"href":"https:\/\/blogs.northcountrypublicradio.org\/inbox\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blogs.northcountrypublicradio.org\/inbox\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blogs.northcountrypublicradio.org\/inbox\/wp-json\/wp\/v2\/users\/11"}],"replies":[{"embeddable":true,"href":"https:\/\/blogs.northcountrypublicradio.org\/inbox\/wp-json\/wp\/v2\/comments?post=1197"}],"version-history":[{"count":0,"href":"https:\/\/blogs.northcountrypublicradio.org\/inbox\/wp-json\/wp\/v2\/posts\/1197\/revisions"}],"wp:attachment":[{"href":"https:\/\/blogs.northcountrypublicradio.org\/inbox\/wp-json\/wp\/v2\/media?parent=1197"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blogs.northcountrypublicradio.org\/inbox\/wp-json\/wp\/v2\/categories?post=1197"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blogs.northcountrypublicradio.org\/inbox\/wp-json\/wp\/v2\/tags?post=1197"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}