Quantcast

Jim Letourneau's Blog

Investing, Technology, Travel, Geology, Music, Golf. I think that covers it.

More on the Sell-Off

This post is part of 16 of a 16 part series of posts taken from the transcript of an interview I (JL) conducted with Resverlogix (RVX.TO) co-founders Dr. Norman Wong (NW) and Donald McCaffrey (DM).

What follows is a lengthy and candid interview about the history of Resverlogix, recent events at the American Heart Association meetings, and future plans for the company.

I’ll be publishing two interview segments a day so not all of the links may be active if you are viewing this during March 28-April 5, 2011.

  1. Background of Dr. Norman Wong

  2. Early History of Resverlogix

  3. HDL Biology

  4. American Heart Association Meeting - 2010

  5. CETP History

  6. Importance of HDL Type

  7. AHA ASSERT Trial Response

  8. ALTs

  9. Investor Reaction

  10. The Next 2 Years

  11. David vs. Goliath

  12. Alzheimer's Therapy Potential

  13. Upcoming Assure Trial

  14. Volatility of Resverlogix

  15. Resverlogix is Expanding

  16. More on the sell-off


Part 16

DM: We're more in it for the scientific reasons, but also we've got a lot of family friends and

investor groups in here as well.

DM: None of our insiders have sold over the years. Bill Cochrane was in this stock ten years
and never sold. Bought the whole time.

NW: We've been buying.
ure Geoscience Inc. - All Rights Reserved

DM: I think you're going to see a bit of a wave of buy back again too, because if you take the
November 17th and 18th type of selling, it was a lot of sell-off. Those who can use that for a
tax loss buy back 30 days later. That starts taking place in about a week.

JL: These guys can start buying back 30 days after.

DM: So they've got a buy back window with depressed stock prices. It's not such a bad thing
for them. But man, that volume was impressive.

NW: I've never seen it like that.

JL: Well, that's where I would question how many retail people would be
that reactive since they . . .

DM: You had a triple effect here, because you had that scare down from the pre-news,
whatever that was. But then it triggered the stop losses. The stop losses triggered the
margins. The margins triggered the tax loss selling. You get the boom, boom, boom. You
know what? To try not to overreact as management while all of that is going on, it's painful.
You get out. You do what I did. I did two webcasts. We got the news releases out there that
were pertinent. It's just not going to turn around over night. So you suck it up and deal with
it. You continue on with getting your good news out, and your market will rebuild itself. So
those who think we're here at low prices for two years, that's not going to happen.

DM: But you look at the volumes that were there. That had to have been a lot of the guys
who sold on the way down were probably the very ones buying on the way back up. Some
may be in a better position.

JL: It's unbelievable. Then, as soon as he got on the webcast . . .

DM: Yeah, I had the two lined up for the same day. People wanted it the week before. The
stock was dropping. The week before wasn't the right time. It was Thanksgiving in the U.S.
You don't have their attention. Sometimes it's painful to sit in this chair and to have to suck it
up. You get called all kinds of names and get all kinds of threats. We know what we're doing.
We've nursed this thing from the very start, and there are no two people who know more
about it than Norman and I.