Borislav Tonev

Trans-Pacific Aerospace Company Inc (OTCMKTS:TPAC) Crumbles

by Borislav Tonev January 12, 2016

If there ever was an award for the most active penny stock CEO on the social media, Bill McKay, Trans-Pacific Aerospace Company Inc (OTCMKTS:TPAC, TPAC message board)'s Chief Executive Officer, would probably take it. Yesterday, for example, he put out nearly forty tweets in a matter of a few short hours.

Curiously enough, none of them seem to be related to the stock's performance which is odd considering the fact that that's what investors are most worried about at the moment. Last week, TPAC experienced a surge in both price and volume and at one point it found itself just inches away from its 52-week high of $0.007 per share. Unfortunately, it then faltered and plummeted straight down. A 20% crash on Friday was followed by another 22% wiped out during yesterday's session which means that the ticker is now sitting at $0.0039.

But if it isn't the share price, then what is Mr. McKay talking about on Twitter?

Well, last week, he said that TPAC has been approved as a Boeing supplier. People were really excited about the news and they reckoned that it should be officially announced through a press release. Mr. McKay, however, said that if he wants to mention Boeing in a PR, he'll need to acquire a permit to do so and, for reasons that he decided not to go into, he said that this is unlikely to happen.

He talked some more about TPAC's PR policy. He said that he prefers not to publish press releases about certain partnerships because this leads to a lot of “harassing” from “bashers”. Thanks to the said “harassing” the contract with The Timken Company announced back in July 2015 has been terminated.

We also learn from Mr. McKay's tweets that because of the “bashershe has told the transfer agent not to disclose information regarding the company's share structure.

Other than that, he talked a bit about his career and he classified certain people who don't know the ins and outs of the aerospace industry as “idiots”.

Apparently, Mr. McKay reckons that all is going to plan, but although he has plenty of supporters who say that a 40% loss in a matter of a couple of sessions isn't a crash, the majority of investors aren't so sure. We can't really blame them.

The ones who have been with the company for long enough have read quite a lot of things on Mr. McKay's Twitter profile, in TPAC's press releases, and in the company's filings. None of these things have really led the company or its stock where people wanted to see it. Instead, TPAC was forced through a truly apocalyptic dilution during the first several months of 2015 because of conversion of toxic debt.

Mr. McKay embarked on a share reduction crusade and if the 8-K forms he put out are anything to go by, he has now canceled well over 1 billion shares. Yet, the first of the cancellations which happened in June wasn't reflected in the 10-Q for the period ended July 31, and the impression it made on the chart isn't as big as he hoped it would be.

In light of all this, the presence of what he calls “bashers” (we prefer not to comment on whether they're right about everything or not) is not really much of a shock.

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