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Non-Tech : E*Trade (NYSE:ET)
ET 16.59-0.7%Nov 12 3:59 PM EST

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To: Spytrdr who wrote (13267)4/24/2000 9:32:00 AM
From: BWAC  Read Replies (1) of 13953
 
Spytrdr,

You are right in that EGRP can buy accounts cheaper with ads. But sometimes that is not good enough. It makes perfect sense for some type of partner between EGRP and AMTD. You have 2 companies that have just reached the point in their life where any significant reduction in expense will return outstanding profits. EGRP is closer to critical mass, than AMTD is in public perception. But I think they are a lot closer than the popular belief tells us.

EGRP surely can survive and prosper with or without AMTD. In fact both can survive and prosper. My only point was, if joined together there would be tremendous cost savings that would flow right to the bottom line. EGRP could eliminate the competition, and then take that competitions advertising dollars and show them as a profit for EGRP.

Now imagine a significantly profitable EGRP, maintaining their current ad budget, and passing SCH as the daily trade leader?

It could happen right now, today. Or you can wait for EGRP to continue down the current path and see it happen in 2 years. Either way is fine.
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