America On-Line: will it survive ...? Message Board

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

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To: Brian K Crawford who wrote (1995)	2/27/1997 4:34:00 PM
From: jack rand	of 13594

>The AOL/TALK deal calls for a split of profits generated by AOL >members. I'm always leery of % of profit deals unless via totally separate joint venture. AOL has no control over Tel-Sav's expenses. In addition, it seems that expenses of the the "considerable marketing" that AOL says it will do are not included in the profit split, which appears to be only on Tel-Sav's margins. Tel-Sav could really take AOL to the cleaners on this deal, especially because AOL owes back the $100m regardless of any sales.

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