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Technology Stocks : Avalon Group, Inc.

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To: Eric Fader who wrote (427)4/28/1998 10:01:00 AM
From: Jon Matz   of 1530
 
Eric, while I'm fully aware that big plans require the help of lawyers to finalize the details, I am seriously concerned about the financing of this evidently enormous task. Are the pockets of this company deep enough to retain these lawyers for such a long time, or is the company going to fail by the sheer weight of the negotiations?

This of course assumes that the lawyers are not crooks in the first place and/or that the other company we are negotiating with are not unreconcilable jerks. Because if either of these issues are the problem AVAL doesn't have a chance.

Another major concern that I have for fledgling companies is that we may be on the verge of a substantial bear market. Should the market continue down, any established company is going to be in serious condition, but non-reporting companies like AVAL are doomed to never get off the ground.
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