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Microcap & Penny Stocks : DCI Telecommunications - DCTC Today

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To: Ken Salaets who wrote (1270)11/4/1997 10:12:00 PM
From: LT  Read Replies (3) of 19331
 
Hello Ken,

Goodwill can be many things. In the case of DCTC, it has been
the price paid by an acquiring company for the products and
potential of the acquired company. That "po" price is written
into the books as goodwill. It is actually a non-asset until
the "po" is realized. I think it is glaringly apparent now that
CardCall had the "po" worth the goodwill paid for it. To be able
to write it off in such a short time is truly amazing as most small
companies never get the chance to write goodwill off.

From an investors standpoint, we now have a company with a much stronger balance sheet which puts us in an even better position
if and when we are the target of an acquisition. We would now
get full value instead of price - goodwill.

Hope this is of help.....

Lou
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