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Microcap & Penny Stocks : EYETEL TECHNOLOGIES-VIDEO CONFERENCING

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To: Pete Mastella who wrote (3)11/1/1996 1:19:00 AM
From: WALTER GRAEBER   of 60
 
HI PETE, 10/31/96
I SEE EYETEL CLOSED UP .11 TODAY ON 328,000 SHARES. KEEP IN MIND THAT THIS
COMPANY WAS PUSHING $4.00/SH A FEW YEARS AGO WHEN IT HAD GREAT POTENTIAL
AND VIRTUALLY NO SALES. I SPOKE WITH GORDEN MEDLOCK A FEW WEEKS AGO
AND HIS ENTHUSIASM FOR THE FUTURE OF THE COMPANY WAS ENCOURAGING IN
LIGHT OF THE BEATING THE STOCK HAS TAKEN OVER THE PAST FEW YEARS.
I THINK WE ARE FINALLY AT THE POINT WHERE LARGE POSITIONS SHOULD START
TO BE ACCUMULATED OVER THE NEXT SEVERAL MONTHS. I WOULD NOT BE SURPRISED TO
SEE EYETEL BREAKEVEN OR HAVE POSITVE EARNINGS BY JUNE OF 1997. THIS ASSOCIATION
WITH STARTRONIX WILL GIVE EYETEL SOME OF THE EXPOSURE IT HAS DESERVED.
IF EYETEL CAN SHOW POSITVE EARNINGS BY MID 97 I WOULD THINK THE MARKETPLACE WILL
MOVE THIS STOCK LATE IN THE FIRST QUARTER IF NOT SOONER.

JUST AS A SIDE NOTE:
ANOTHER COMPANY I HAVE BEEN FOLLOWING FOR SOMETIME NOW IS "SOFTNET SYSTEMS (SOF)
THIS COMPANY IS INVOLVED IN THE MARKETING,INSTALLATION,AND SERVICING OF
ELECTRONIC INFORMATION AND DOCUMENT MANAGEMENT SYSTEMS.
THE REASON I FOLLOW THIS COMPANY IS BECAUSE OF ITS CEO JOHN McDONOUGH.
I WATCHED HIM GROW GENDEX CORP. FROM A SMALL COMPANY INTO A GIANT VIA
ACQUISITIONS WHICH ALWAYS SEEMED TO IMMEDIATELY ADD TO THE BOTTOM LINE.
GENDEX ULTIMATELY MERGED WITH DENTSPLY (XRAY).
MR.McDONOUGH IS NOW FOLLOWING THE SAME GROWTH PLAN WITH SOFTNET.
THE STOCK IS CURRENTLY TRADING NEAR ITS 52 WEEK LOW OF $4.375. IT HAS BEEN
AS HIGH AS $15 DURING THAT SAME PERIOD.
IF EVER THERE WAS A REASON TO INVEST IN A COMPANY FOR ITS MANAGEMENT IT
IS SOFTNET AND JOHN McDONOUGH.
I BELIEVE YOU WILL BE SMILING IN 6 TO 12 MONTHS IF YOU MAKE SOFTNET
A PART OF YOUR PORTFOLIO NOW.
WALT
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