SLMI --new ticker: SLMIQ-- (SLM Int'l and CCM sport) Message Board

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Non-Tech : SLMI --new ticker: SLMIQ-- (SLM Int'l and CCM sport)

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To: Kevin Miller who wrote (23)	2/19/1997 8:47:00 AM
From: Joe T. Mayernik	of 26

Kevin, This is a crazy stock. For all intentional purposes (based on the proposed reorg plan) this stock should be trading at .01. The reorg plan calls for issuance of new stock and warrants. If you are a current shareholder you would get warrants based on a 60 to 1 split (or something close to that based on 18 mil shares into 300K warrants). You have 5 years to exercise your warrants once the stock reaches $16.92. If there is a buyout after the reorg and prior to the 5 year execution date for the warrants you have an optional cash buyout. 500K is allocated for the total of all outstanding warrants. 500K in cash divided into 300K of warrants gives you $1.66 per warrants in the event of a buyout. As you can see this is not a very good deal for shareholders. But here are the questions to be asked: Who bought 480K and 600K blocks on January 10th prior to the court date of Jan 23rd at .42 and .46 cents a share. (Jan 13th hand 3.7 million shares traded. Remember only 18 million shares outstanding and directors own at least 8 million. So almost 4 million shares trading is almost 40% of outstanding available shares Based on the plan this does not seem to be a smart move. 23rd Court date CONFIRMED the plan with no execution date set.(said it would occur within 2 to three weeks) Nothing has been finalized. CHASE bank has not confirmed financing as well. WellSpring a private investment company (who bought Lionel trains) and I believe is still holding that company maybe were the ones that had bought up stock on the 10th. News releases say they will be a major equity holder in the new SLMI. I believe they bought up stock to cover both bases. If a buyout by another company occurs prior to the reorg being confirmed buyout price may be around $4 a share, if the reorg goes through and they acquire new stock supposedly at $8.50 a share on stock issued at $10 they make out in that case as well. The big question is why is this stock hanging in there and why do we still have trading of 200-500K shares a day. If someone is dumping shares at .20 cents why is someone willing to buy. Rumors have it Wasserman has been to the Orient and had discussions with a Japanese company called Manzuno. Easton a privately held company may also be interested in SLMI it would not suprise me that SMART MONEY knows something and this company will never go through reorg and that it will be acquired by someone else. Whoever has the guts to hang in there could end up hitting a grand slam. I will either look like a genius or a very stupid investor. I cannot believe there are that many stupid investors out there willing to throw money down the tube. I also cannot believe that market makers are wasting their time trying to manipulate this stock. SLMI is a good comapny with a growing market base, Someone besides Wellspring must recognize that and are willing to acquire this company. Well enough rabbling for now. If anyone can add any useful information to this I would surley appreciate it. If something is going on a leak has to occur

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