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Technology Stocks : America On-Line (AOL)

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To: JayPC who wrote (36889)1/10/2000 1:14:00 PM
From: Joe S Pack  Read Replies (2) of 41369
 
Jay,
That is what I pointed out in my previous message.
But this deal is not just pure Cable access. AOL
will get lof of other valuable assetts like Atlanta Braves,
CNN etc.
But here is a conservative evaluation by one Analyists.

RESEARCH ALERT - Time Warner , AOL

LOS ANGELES, Jan. 10 (Reuters) - PaineWebber Securities entertainment and new media
analyst Chris Dixon on Monday said a merged America Online Inc. and Time Warner Inc. should
carry an equity value of $450 billion, or 15 times estimated annual revenues of about $30 billion.

-- targeted current stock prices at $90 a share for AOL and at $135 a share for Time Warner, based on the merger.

-- maintained a buy rating on Time Warner share up to $130 a share and said appreciation beyond that, ``will be highly dependent
on more details.'

-- said merger strategically accelerates Time Warner's Internet strategy by several years and solves AOL issues over access to
content and accelerating its broadband strategy.

-- Time Warner shares were up 29-13/16 at 94-9/16 by mid-afternoon. AOL shares were up 2-1/4 at 75-1/8. Both stocks are
traded on the New York Stock Exchange.
-Nat
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