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Strategies & Market Trends : Floorless Preferred Stock/Debenture -- Ignore unavailable to you. Want to Upgrade?

To: Zeev Hed who wrote (549)	7/4/1999 6:19:00 PM
From: BDR	Read Replies (1) \| Respond to of 1438

BDE closed at 5 5/8 on Friday. I am praying for an uptick on Tuesday, if you know what I mean.

To: Zeev Hed who wrote (549)	7/8/1999 12:01:00 PM
From: Greg Hull	Read Replies (1) \| Respond to of 1438

Zeev, Last week CMGI sold a Reg D private placement for $375M. From the 8K filed yesterday: "Each Tranche may be converted, at the holder's option, into shares of common stock, $0.01 par value per share (the "Common Stock"), of the Company at an initial conversion price per share equal to 150% of the average of the closing bid prices of the Common Stock on the Nasdaq National Market over the ten consecutive trading days immediately preceding the date of original issuance of the Series C Preferred Stock. The initial conversion price remains in effect until the conclusion of the pricing period in respect of a particular Tranche. Thereafter, shares of the Series C Preferred Stock for a particular Tranche are convertible into Common Stock at the conversion price set for that Tranche. The conversion price for each Tranche equals the ten day average of the closing bid prices of the Common Stock beginning on the initial trading day for the particular Tranche's pricing period multiplied by 90.75%. The pricing period for Tranche 1, Tranche 2, and Tranche 3 begins on the 15th, 45th and 75th calendar day after the date of original issuance of the Series C Preferred stock, respectively. The initial conversion price and the conversion price calculated for each Tranche are subject to adjustment for certain actions taken by the Company. In addition, in no event will the conversion price calculated for each Tranche exceed the initial conversion price." This sale was also reported in Red Herring: redherring.com I developed the impression that these floorless offerings were the province of only very small companies that had no other options for raising capital. Are the implications for a large cap company like CMGI less onerous, or should this be taken as an indication that not all is well with CMGI if they need to raise cash this way? Interested in any thoughts you might have on this, Greg

To: Zeev Hed who wrote (549)	7/10/1999 2:05:00 PM
From: David Sirk	Read Replies (1) \| Respond to of 1438

I understand that what you guys are doing is a noble cause. But I suggest that you get ALL your facts in order before trying to create a panic. I have made my investment with CLVE and I feel better about it now than I have ever felt. From a small paragraph in a PR you folks have been able to spell out the entire deal. You people have assumed so much in regards to CLVE it is down right irresponsible. From what I have gathered is that the shares on 1.2 million note have a convertable restriction of ONE year. No, I have not seen the paper work but any time you are dealing with PENNY STOCKS there is always FAITH, PERSEPTION and GUT involved. I have tried to counter ZEEV with his claims that the stock has already been shorted by GEM and this and that. But the best he can come up with is that I'm in denile. The reason that I am on this thread is to caution you all about starting WITCH HUNTS with little facts. You say your purpose is to save hard working individuals thier investment. I can appreciate that. But if you start making irresponsible posts with little info and pass this off as fact, and cause people in an issue to sell for a loss right before a huge gain is about to insue, then I think that you are indeed defeating your purpose. You see I don't like to see people lose money either.