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Technology Stocks : Microprose, MPRS

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To: Coy Lynn Gullett who wrote (333)3/10/1998 4:00:00 PM
From: Snake1132   of 633
 
Coy, congratulations, your numbers are looking much better today due to the Press Release. I feel this quarter has been extremely difficult to gauge because of uncertain sales of Duels and Worms in the U.S. and the release schedule which until today was alarmingly (even more so than usual) murky.

I say Duels and Worms are hard to find numbers for because neither of them shipped a great deal initially. I believe Duel's shipped 30,000 at first. I don't know what the re-order numbers are, but I do know everyone who is playing Duels against live opposition believes the game would have shipped 500,000 last year if it had been the product instead of what consumers got instead. The buzz is good. Worms 2 is well liked by the vast majority of people who try it, and seems to be selling consistently. On the whole your numbers may be a little high for Magic, and hopefully a little low for Worms. Ultimate Race and M1 may or may not receive re-orders this quarter beyond the 100k the press release states are expected to ship initially.

It is still difficult to tell what the quarter will look like. But I am less concerned about something the company said in the Q3 call. Race said Q4 would result in a loss, but perhaps not as big a loss as Q3. I now feel we are safely outside that magnitude of loss.

Looking forward my final comment is this. Last Friday the company traded as low and 1 and 7/16. That results in a market cap of 40 million. This company is a great buy on a risk adjusted basis at 40 million. MPRS stands a fair chance of having a 40 million QUARTER in Fiscal 99. The stock price is much lower than any rational basis can justify, and I am confident this will be borne out in time.

Keep the numbers coming!

Snake
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