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gnulaw (52.71)

What is the Difference Between the $45M ATM Hack and the GKNT Board of Directors?



May 10, 2013 – Comments (5) | RELATED TICKERS: GKNT.DL , IAC , AMZN

What is the difference between the $45M ATM hack and the GKNT Board of Directors?

A: The Banks are profitable. GKNT Directors are hacking their own shareholders while sustaining multi-year losses and shareholder valuie destruction.

GKNT reported [another] loss May 8th for Q1 ending March 31st "...Net loss for the first quarter of 2013 was $2.3 million or $0.35 per diluted share compared to a net loss of $2.1 million or $0.33 per diluted share for the same period a year ago..." The day before GKNT reported continuing losses the shareholder hostile nine-person Board of Directors hacked the GKNT Insiders' ATM [again] under the guise of FORM 4 dispositions of 0$ share options.


As we stated in comment #4 here 


"...and finally we must poignantly return to that pre-Langone Feb 14 2008 (comment #12 and here) letter from a Hedge Fund demanding the Board unlock obvious shareholder value. The stock closed at $1.78 (pre-1:10 split) or $17.80 at the close of the day preceding the demand letter to the GKNT (fka LNUX) Board of Directors.

GKNT shares closed at $13.99 today, April 12, 2013, > 5 years or appx 62 months since said demand letter where non-insider shareholders have sustained 21.4% in shareholder value destruction under Langone's reign while additionally establishing a Board comprised of (and with all due respect) ten of his (aging/irrelevant to the business of Geeknet) friends each of whom are effectively provided a personal ATM machine and $50k+ annual pension in the form of options and in some cases millions due to wreckless hirings, Langone has taken the concept and noun Grasso (comment #7) to the next level with Geeknet (GKNT). And to the point that the meticulous coverage provided on this blog over all these years (as cited in all above references and incorporated comments in main blog above) should simply be the basis for a Harvard Business School Case Study [and] should trigger and be the basis for sweeping Federal Securities Legislation to prevent this alleged criminal gross negligence and insider ATM machine from being replicated. Unfortunately it appears to be a rampant practice to varying degrees as has also been documented viz-a-viz the Pervasive Software debacle (blog, all references, comments).

These alleged pervasive fraudulent behavior(s) and practices must simply stop NOW..."


[1]  Aug 04 $GKNT Q2 Ending June 30 - Thinkgeek, Bucky Balls Consumer Complaints and continuing losses (incl comments 1-3)

[2]  May 05 (Geeknet:GKNT) A Geek Tragedy...Turnaround? - Q1/FY Ending 03/31/12 (incl comments 1-11)

[3]  Feb 18 (Update2) (Geeknet:GKNT) A Geek Tragedy - Q4/FY Ending 12/31/11 (incl comments 1-18)

[4]  Dec 27 2011  (NASDAQ:GKNT) A Geek Tragedy (incl comments 1-6)

[5]  Nov 15 2011 (NASDAQ:GKNT) Q3 Ending Sep 30: Fellini Satyricon meets Barbarians at the Gate (incl comments 1-8)

5 Comments – Post Your Own

#1) On May 10, 2013 at 9:25 PM, L0RDZ (90.39) wrote:

It kills  me  when  companies  are  able to  just  give  away  free  stock (zero cost  options)  to  horrible  operators  ~   board  members ~  insiders ~ not  to  mention  many  perks.

Especially  on  stocks  that  have  a  lengthy  downward  from  left  to  right  trajectory.

Oh  sure  they  say  if  you  don't  like whats going on  you  can just  sell  your  shares,  but  in  many  cases I  would  rather have  the option of  humiliating  and  be-littleing  bad  managers ~  bad  operators ~  bad  board of  directors ~  just before  letting them  realize  that  they  will  be  forfeiting  any  stock  dividends ~  stock awards ~  stock  options  ~  and  any  severance.

A  lordz  can  only  dream  that one day  such  can  be  an  option ~  instead  of   just selling  shares.


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#2) On September 02, 2013 at 1:34 PM, gnulaw (52.71) wrote:

Commented on a Seeking Alpha GKNT BUY recomendation they posted today, September 02, 2013 at 12:01 on Seeking Alpha.

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#3) On February 21, 2014 at 8:52 AM, gnulaw (52.71) wrote:

Geeknet Announces Fourth Quarter And Full Year 2013 Financial Results

Geeknet (GKNT) Posts Quarterly Earnings, Misses Estimates By $0.31 EPS

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#4) On February 21, 2014 at 9:09 AM, gnulaw (52.71) wrote:

Geeknet Announces Fourth Quarter And Full Year 2013 Financial Results

Geeknet (GKNT) Posts Quarterly Earnings, Misses Estimates By $0.31 EPS


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#5) On August 02, 2014 at 10:53 AM, gnulaw (52.71) wrote:

 $(GKNT) A Defined Benefit Pension Plan for Ken Langone's Aging Friends? -  The Poster Child For Shareholder Value Destruction (see above main blog and all comments/references) Misses (again) on Revenues and Earnings.

Aug 1, 2014...Geeknet misses by $0.36, misses on revenue. As pointed out on this blog year(s) ago Langone's Board of Directors is nothing more than a Pension Plan for his aging friends...


#ThinkGreed #InsiderATM

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