Expert: Steven Taylor - 8/4/2009

Question
QUESTION: I recently found a stock certificate dated Sept. 24, 1957 for 210 shares of the company in the subject line above.  Can you give me any information on this company and the possible value of this certificate?

ANSWER: Ron, it appears the shares may have very minimal value. The Company did a huge 1 for 200 reverse stock split and became New Emjay Petroleums. In 1966, New Emjay was acquired for 7.1 cents per share. Considering the 210 share certificate and the reverse split, the certificate would be worth less than a dime, assuming the owner did not receive a check for the 7 cents back in the 1960's (which is very possible).

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QUESTION: How would I go about "cashing in" this certificate?

Answer
Ron, you wouldn't. 43 years ago it was worth a whopping 7 cents, and nothing would have changed that. Even assuming the money was still available, the postage stamp to mail the certificate to the transfer agent would cost you 6 times that. Also, unless the certificate is in your name, you would have to legally prove you are the current owner - possession of the certificate is not proof, as certificates are not bearer instruments. Usually, that would entail sending a certified copy of the owners' will or probate documents showing the shares were transferred to you upon death. Gathering those documents takes time, and usually some money as well. Even if the buyout was yesterday instead of 43 years ago, it is not worth your time and money over just 7 cents.

As I said in the original answer, it is very likely the original owner received a check for 7 cents back in 1966 when the company was acquired. Even then the cost of a stamp to mail in and process the certificate would have exceeded the amount of the check, so chances are they simply sent the owner a check and ignored the certificate.