Here are the questions and cover letter, as submitted to Pat Hayton.
I did not want to have to be the one to submit these, as I suppose that they WOULD stand a better chance of being answered if somebody else were to ask them.
However, it was clear that this was just going to drag-out and be postponed ad-infinitum.
I have added-back the deleted questions, and added a question about company debts.
Sorry about the formatting, but it didn't paste well into Netscape.
Fax to 17605645401 successful: 86 seconds, 3 page(s), $ 0.15,
transmission time: Monday, Dec 28 1998, 09:39:49 PM (GMT),
remote CSID: 310.
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To: Pat Hayton
FAX: 760-564-5401
From: Jon Tara
FAX: XXX-XXX-XXXX
I have attached a set of questions regarding ZuluMedia, Enhanced Services,
and your own past business dealings, which have been collected from
participants in Silicon Investor and Yahoo forums concerning the companies.
These questions come from a number of forum participants, and, I believe,
represent the types of questions that many shareholders and interested
non-shareholders must be asking and would surely like to have answered.
I realize that you may not be legally able to answer many of these questions -
particularly those involving company business and plans.
To the extent possible, then, we would all be appreciative of those answers
that you can forward, which will be passed-on to the forum participants - and
hope that you would aprise the companies of the desire to have the other
questions answered as soon as possible via official company
communications.
Thank you for your consideration. I await whatever reply you may be able to
provide.
--------------------
i) ZULU = Zulutek, Zulumedia and any or all subsidiaries and alliances.
ii) ESVS = Enhanced Services Company and any or all subsidiaries and
alliances.
Management:
1) Who has the final say in the day to day affairs concerning ZULU?
2) What position, if any, does Mr. Pat Hayton currently hold with Zulu/ESVS?
3) When can we expect news on a new CEO for these companies?
The Business Combination:
1) What is the current status and outlook for the business combination
between Zulu and ESVS?
2) What is the status and schedule for the shareholders meeting?
Financial:
1) What is the status of the proposed financing package?
2) Has financing been jeopardized due to recent developments?
3) Has financing been helped by the acquisition of Brandsforless.com?
4) What are the conditions of the financing package if it is still in the works?
5) Is sufficient operating capital available to continue operations?
a) If sufficient capital is available, how long will it last?
6) What are some of the current revenue producing operations of ZULU
and/or ESVS?
a) Are all revenues being treated as if a single company produces them?
b) Can you share any particulars concerning combined revenues from the
past three months?
7) In what jurisdiction is Rolling Rock Capital lawfully incorporated?
8) Is Rolling Rock Capital controlled, directly or indirectly, by Zulu or ESVS or
by any present officer, director or controlling shareholder (i.e.: >10%) of Zulu
or ESVS?
9) Does any present officer, director or controlling shareholder of Zulu or
ESVS have any direct or indirect interest in Rolling Rock Capital?
10) How is the $35 million being paid for Brandsforless.com?
a) Is it being paid in cash?
1) If cash, where did the cash come from?
b) Is it being paid in stock?
1) If stock, are additional shares being issued thereby increasing the number
of shares outstanding or the number of "special" shares?
11) Have the company's debts to Lycos and Frontier GlobalCenter been
paid? If not, has a settlement and/or payment arrangements been made?
Has the company been denied other services (besides web hosting services
from Frontier GlobalCenter) due to non-payment of debts? Is the company
current in paying web sites? If not, when does the company intend to become
current? Has the company lost web site partners due to non-payment? What
other debts has the company deferred?
Stock Exchange:
1) What priority does being listed on one of the Stock Exchange Boards
(NAS; AMEX; NYSE) have at this point?
2) Is a listing on one of the above exchanges something that you feel can wait
because of more important matters at hand?
Daily Operations:
1) What Internet-related operations exist at this time?
2) What is the status of the Internet advertising/banner business?
3) If the banner business is not a major revenue producer, can you explain
why?
4) What is the status of the Powerx deal with NHLT?
General Questions:
1) In the past there has been or seems to have been a high turn over rate with
ZULU/ESVS management and personnel. Can you explain this high turn over
rate?
2) Why does Zulu need Enhanced Services?
3) Will the effective date of the Brandsforless.com acquisition be before or
after the 1:10 reverse split?
4) The press release refers to the acquisition in the past tense in the first
paragraph of the PR, and as a "pending acquisition" in the last paragraph of
the PR.
a) Is Brandsforless.com currently owned by ZULU/ESVS?
b) If the acquisition is still pending, when (date) will the acquisition close?
5) Will ZULU be merged into ESVS, as originally planned, or will ESVS be
merged into ZULU?
a) Which exchange will the new company trade on?
b) What will the trading symbol be for the combined companies?
c) What symbol will ZULU trade under immediately following the reverse
split?
6) What happens if there are changes to the capital structure of either
company subsequent to the 1:10 reverse?
7) Will there be a period of time during which one of the stocks will not be
tradable?
8) Could you please list a few of the successful businesses that you have run?
9) How are they doing today?
10) Could you please provide some references at these businesses?
11) Can you explain why there are so many judgements against you in the California civil courts?
----------------------
Thank you for taking time to answer these questions. Your answers will be
made available to the members of the two Internet chat boards (Silicon
Investor and Yahoo) that submitted them. |
