conversion of notes, page-3

Follywood,

Some time ago AOK needed cash and issued convertible notes at 15c conversion. These are due to expire soon. Can't remember exactly when but before June 30th anyway.

The assumption is that note holders do not have the cash to convert all of them. So they are converting them in batches and drip feeding them to the market. Once sold, rinse and repeat. Anything above 15c is a win for them. If the notes expire, AOK pays them out. So by the end of June this should stop and the hand break get taken off the share price.

Debatable whether AOK holders are better off with AOK paying them out (and therefore having less cash) or them selling all into the market. Personally I think payout will be better - less dilution and less overhang. AOK's balance sheet is very strong.