David Black

Five American Innovators to Buy During the Current Downturn

As of settlement date 07/15/2008 AMSC short position increased by 13.06% to 16,346,013 shares; that's an unconscionable 43.61% of share float. 276 Institutions own 71% of the share float. On 7/22/2008 Veredus Asset Management acquired 653,835 AMSC shares. The 10 largest Institutions Investors own approximately 19,000,000 AMSC shares. The 10 Mutual Funds with the largest holdings own 13,800,000 AMSC shares. Kevin Douglas owns 3,242,800 AMSC shares. With the recent acquisition by Veredus Asset Management, these long term holders (i.e. they are not interested in shorting AMSC) own 36,736,600 AMSC shares. Subtracting 36,736,600 shares from the float of 40,700,000 shares leaves us with 3,963,400 shares available for trading. Yet, the short position is 4x the 3,963,400 AMSC shares readily available for trading. It's obviously a naked short; in other words, illegal.

This abuse has taken place ever since July 2007 when SEC removed the up-tick rule for short sales. It is high time SEC clamp down hard on this abuse that is all-too-pervasive through the securities industry. Accountability is non-existent; it needs to be immediately addressed and rectified quickly.

Departments of Energy, Homeland Security & Federal Energy Regulatory Commission, to name a few, are actively financially supporting the pioneering efforts done by AMSC. The short sellers of AMSC are endangering our nation's security; this illegal practice must be stopped.