Art, I only started following AOL after the recent fiasco and did not have the more extensive background. Thanks for cluing me in.
The December qtr may actually be exceptionally good, if you just look at the numbers for the quarter. I supect a large number of users signed on for the yr or 2 yr plan, giving them a huge chunk of badly needed cash. Unfortunately, they will have to cough it back out with the class action suits.
Forward statements have driven the market so far this year. Cascade, IBM, TXN, INTC, MSFT are just a few examples. Do you know if AOL is going to have a conference call? I like to hear them dodge the obvious questions.
Brian, I did read that letter from Case and find it comical. He kept talking about how he is going to service the 8 million customers when he knows he can't. He simply does not have the capacity till June and that is only a maybe. The only alternative is as Art said, dropped 4 million subscribers.
To the loyal AOL fans, please understand that I am not bashing AOL's product. It does not fit my needs so I don't use it, it does not mean that I think it is a bad product for you. I am an investor and am only interested in what the company would do. In this case, since I own April puts, I am only interested in what happens between now and April 18. AOL may turns things around by summer and who knows? I may be a buyer at that time.
Ramsey |
