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Technology Stocks : America On-Line: will it survive ...?

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To: Brian K Crawford who wrote (1610)2/8/1997 8:25:00 PM
From: Todd Daniels   of 13594
 
Post all the stats you want. The fact remains that despite
constant triple digit growth in subs, ad revenue etc. the
company doesn't make money. Now hopes for profit have yet again
been pushed out a quarter; and possibility that company
projections of +$70m cash flow in FH2 will happen seems absolutely
nil.

Bear in mind that according to 1993-5 estimates, AOL was to
have been rolling in dough a year or two ago. Now it faces Q3
sub count being back where it was in March 1996.

As Barron's succinctly put it:
But hey, who needs net worth when business is booming?

Alan Abelson -- Barron's 02/10/97
Because of those humongous charges and normal operating losses,
America Online is suffering an amazing shrinkage in its balance sheet,
specifically in the item known as stockholders' equity: Between June 30 and Dec. 3l, 1996, it dropped to $38.8 million, from $512.5 million, or by some 92%.
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