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Message: 777 words about reverse splits

Good find.

Ashfield Capital's Hill noted that when Sweden's Ericsson (ERIC) in early 2008

recalibrated the ratio of ordinary shares to the American depositary receipts that

trade in the U.S. -- a similar move to a reverse stock split -- the ADRs became the

best-performing shares in her portfolio in the next year.

The key point is whether fundamentals improve. Paul Nolte, director of investors at

Hinsdale Associates, said a reverse split "wouldn't necessarily change anybody's

opinion" about Citi or any other company that chooses to enact one. "It's still about

the fundamentals," he said.

How a stock might perform following a reverse split should be analyzed on a caseby-

case basis, he added.

Be well

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