A little insight for those who have asked about such matters

[Kevin]

Hey Guys,

First, Palladium was operating in black, though we were in a weaker position than we had been in years as a result of the downturn in the industry, my divorce and other factors.

There is no truth that Palladium decided not to sell stock because WoTC was "sniffing at our door."

When you're staring down the barrel of a gun you'll consider EVERY option to save the company and do right by your investors, creditors, staff and freelancers, so selling stock was considered -- along with EVERY other concievable option.

The reasons I did not offer stock were, 1) It was wrong to solicit stock for a company that might go bankrupt in a few months. Even if we gave full disclosure and people still purchased stock (which many of you would do), it seemed morally WRONG. I felt like I was potentially cheating people out of their hard earned bucks. 2) I hate the idea of not being the master of Palladium's destiny and having to answer to others (i.e., stockholders). This is NOT an ego thing, but a matter of I hate working for other people and doing things I don't necessarily value or believe are the right thing to do. When you work for someone else, even stockholders (and even when you retain controlling stock) you are still in a position where you have to answer to outside powers and may be forced to do things you, personally, consider inappropriate, unfortunate or downright sucky.

An equally unpleasant prospect was the possibility of selling Palladium. No, we did NOT have a potential buyer, but it was one of the many scenarios we considered. Thing is, if the company is on the verge of going under, you're not going to get a good price. The purchaser is probably looking for a steal -- pennies on the dollar -- and the new owner will, inevitably make changes that I'm sure I wouldn't agree with (raising prices to dramatic levels, no X-Mas grab bags, cutting loose certain employees, likely relocation to another State, different approach to RPG rules, settings and characters, etc.). I couldn't stand to see "Rifts 4.0 two or three years after the release of the Ultimate Edition. Could you? Its not "my" style. HOWEVER, if it meant making good on my debts to others then it had to be a consideration.

I'm told some people speculated that I'd just shut Palladium's doors and start up again in a year or two, but that was never an option. That's possible only if you can pay all your creditors, which was not possible. That meant the intellectual properties would be sold in bankruptcy. When Palladium went down, it was going to be ugly.

Yep, I considered every conceivable option to save Palladium.

Thankfully, our public appeal seems to be working. We've gotten a big shot in the arm, cash-wise, sales are way up, and fans, friends, freelancers, distributors, retailers, and people all over the globe are working to give us a helping hand. (Thank you all so very much.) It's our job to make sure we make the right moves to keep that momentum moving forward so Palladium does get back on its feet and we are good to go for years to come.

We're not out of the woods yet, but with your help and support, we're getting there! And as I've said, the outpouring of support, kind words, emails and postings and letters of encouragement, and all the love has been nothing short of miraculous, inspiring and humbling. To have so many people care, from all around the world . . . wow. Thank you.

Sincerely,
Kevin Siembieda