Cal-Bay International, Statement of Clarification.Cal-Bay International, Inc. Announces Statement of Clarification Regarding Outstanding Shares and Assets CARLSBAD, Calif. -- Cal-Bay International (OTCBB OTCBB See OTC Bulletin Board (OTCBB). :CBAY) is making the following disclosures in order to clarify and update shareholders as to the current status of the company's common stock capitalization capitalization n. 1) the act of counting anticipated earnings and expenses as capital assets (property, equipment, fixtures) for accounting purposes. 2) the amount of anticipated net earnings which hypothetically can be used for conversion into capital assets. and asset base. As of this date there are approximately 216 million shares of common stock issued and outstanding held by approximately 2500 shareholders. Of this total approximately 40% are currently being used for collateral for a series of loans that are being used primarily for real estate acquisition purposes. As such these shares are not in the float and are intended to be retired once the loans have been repaid. The recently announced increase in the authorized au·thor·ize tr.v. au·thor·ized, au·thor·iz·ing, au·thor·iz·es 1. To grant authority or power to. 2. To give permission for; sanction: share structure is intended to provide the company with flexibility in its pursuit of additional real estate acquisitions. It has not been undertaken with the intention of adding unnecessary dilution to the company's capitalization, but instead provides Cal-Bay with viable means to enter into accretive acquisitions Accretive Acquisition An acquisition that will increase the acquiring company's EPS. Notes: As they are expected to increase the acquiring company's future earnings, these acquisitions tend to be favorable for the company's market price. with a currency that may not necessarily be dilutive in the long run, as the shares become retired upon their release from collateralization In medicine, collateralization, also vessel collaterlization and blood vessel collateralization, is the growth of a blood vessel or several blood vessels that serve the same end organ or vascular bed as another blood vessel that cannot adequately supply that end organ . Management has determined that this is the best way for it to be able to attract financing for the purpose of enhancing shareholder valuation through acquisition, as it works toward the longer-term goal of building a valuable portfolio of residential and commercial real estate assets in growing markets. Cal-Bay International currently owns approximately $100M in real estate assets, with a retained equity (book) value of approximately $40M. An additional $60M in acquisitions are currently pending in escrow escrow Instrument, such as a deed, money, or property, that constitutes evidence of obligations between two or more parties and is held by a third party. It is delivered by the third party only upon fulfillment of some condition. or in contract, in addition to the recently announced Louisiana property. As acquisitions continue to close, the book value of the company should continue to increase significantly, as the company's past two years track record has disclosed, thereby adding additional shareholder value to the company. FORWARD LOOKING SAFE HARBOR Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. STATEMENT: To the extent that this release discusses any expectations concerning future plans, financial results or performance, such statements are forward-looking within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities and Exchange Act of 1934, as amended, and are subject to substantial risks and uncertainties. Actual results could differ materially from those anticipated in the forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. . Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof here·of adv. Of this. hereof Adverb Formal or law of or concerning this Adv. 1. hereof - of or concerning this; "the twigs hereof are physic" and reflect only management's belief and expectations based upon presently available information. These statements, and other forward-looking statements, are not guarantees of future performance and involve risks and uncertainties. The Company assumes no obligation to update any of the forward-looking statements in this release. |
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