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Strategies & Market Trends : Cheap China Play---GTTIF

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To: DOUGLAS C. SMITH who wrote (30)2/20/1997 9:02:00 AM
From: Albert Shilin   of 42
 
I think that in normal situation GTTIF should be in this level or a little bit lower for a while and the true rally should be in the end of April when the earning comes out. But Deng's death might make the stocks involved in China interesting. Furthermore, the company's news of 02/11 has just arrived at the shareholders' hand and they might do something these few days. We'll see what is going on today.

Right now, Grande Holdings Limited controls about 28.4% of GTTIF, which I refer to as insider. For the Board of Directors, they don't hold a lot of shares but a lot of options. As I mentioned in the previous posts, the option prices are very high and they have to push the stock to certain level before they could make any money. But I am not sure if they would issue or have issued more options with lower price in this year. We can only know it at the annual report of 1997.

Good luck,

Albert
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