S-3 Filing

finance a la shmoop. what are securities? remember Linus? if not ask your parents.;

if you don't remember who the peanuts were, well then Linus was the guy always [man on stage]

carrying the blankie. and always sucking on his thumb .yeah ew gross .the blanket

was his security yeah see where we went with that his blanket was a something

that he relied upon, leaned on, nurtured. it was certainty, it was Bank. that secure

you see in the beginning of security? well it's not there by accident, so

financially speaking a security secures money. or at least value. when you buy a [100 dollar bill]

security, you give money to someone or something like a corporation. and in

return you get a promise of some value. securities come in two flavors generally

the first is equity ,or ownership. a share of stock is a security entitling you to

whatever percentage ownership and that company the share represents. like if you

bought 500 shares in a company with ten million shares outstanding well that

security represents ownership of five hundred divided by ten million or point [pie chart]

zero zero zero zero five percent of the company.

so that's equity. there's also debt as a security. that's the second thing. like

bonds the bond that Apple offered at four percent yield that pays off in ten

years? yeah that's a bond security. and note [woman sits behind computer]

that securities can carry different guarantees. that is the underlying

promise that the security represents or secures different elements. like a senior

bond security secures that those bonds will be paid off ahead of junior bonds

which will be paid off before say subordinated junior debentures. so you

can see that there are multiple classes and flavors and types of securities all

falling under this tent, which fortunately for everyone doesn't smell

like it's been sucked for four years. good grief. come back next [Linus holds his blankie]

time for another finance lesson a la shmoop and hopefully he'll have washed

this thing by then.