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Technology Stocks : America On-Line: will it survive ...?

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To: James F. Hopkins who wrote (1133)1/20/1997 5:24:00 PM
From: Joel Sternberg   of 13594
 
To ALL: Has someone been keeping track of AOL's cash? They must be burning it pretty fast given that none of these subscribers is actually paying them anything and their "upgrading" to take their system into the Mesosoic Age. I am concerned that they may have to go to the well again; i.e. to the public markets. If they choose to sell more stock you can be assured that their underwriters will work to run the thing even higher up the flagpole. Witness Netscape's recent secondary. It was about 47 before announcement of the secondary, like 44 after it, but then the underwriters worked it up so they could sell the secondary at 56?
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