Said I would do my best with Steve Calk's response to my call...And I personally am glad he took the time to reply to me...told him when I called that I did post on SI...
KLP
High Speed Access Corp June 1, 2000
Thursday, June1 8:40 PM message from Steve Calk, VP IR High Speed Access Corp in response to my call re stock slide..
Steve mentioned he is about 150 messages behind. When he started in Oct 1999, his average call volume was 10-15 calls a week, to now about 25 a day, with average length 20-25 minutes, so average 15-20 calls a day can be answered plus the daily work event. He appreciates our patience.
He mentioned he is out of Wall Street (there 10 years), has checked analysts on Wall Street to understand what's happening to HAS vis-a-vis rest of market. Many small cap stocks that went public last year are facing similar situation. Mentioned Softnet, DSLnet, Covad, Rhythms, Northpoint, etc. some down 60-70% or more in trading from 52 week highs.
Some have concern that some of the small caps might not have enough cash to weather the storm. HSAC does have cash, $150 million cash on the balance sheet, and is beating projections on business plan. Demand for their product is outstanding, and they show terrific results both financially and operationally.
Some may not be willing to put money in small cap stocks until the Nasdaq stabilizes. Some investors can't afford it right now, some have been burned, and some forced out by margin calls--this has not helped the situation by selling stock.
Reiterated again the Company is making excellent progress, and from a long term perspective, he personally does not have a lot of concern. Of all the opportunities he had, he did choose to come to HSAC after 10 years on Wall Street. He believes in the Company concept, the fact that Paul Allen is the largest shareholder, that CSCO, Com21, LU and MSFT are shareholders in the company. Short term, with the poor (stock market) financial environment, no one feels good.
Again, HSAC does have a solid business plan, and there is enough cash in the bank. The storm could go on for awhile and the Company would still be in great shape. |
