the more i read, the more i worry, page-23

black

this in not like normal cap raisings

as everybody knows issuing more shares at a discount dilutes the original share holders stake in the company

USUALLY what happens in this situation is that the company only offers the new shares to the original stakeholders

but what RIO did is a bit different

they put forward the record date so that everybody can get in

this means that the original stake holders are restricted in their ability to protect the value of their stakes in the company

all that has happened then is that the shares are now worth $59

yesterday they were worth $72 TODAY THEY ARE WORTH $59

21 for 40 @ $28.29 OR $73 + $73 + $28.29 = $59

RIO holders have just lost $14 per share

thanx a lot RIO, you filthy rats