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Non-Tech : NetBank(NTBK)-formerly Atlanta Internet Bank -- Ignore unavailable to you. Want to Upgrade?

To: VALUESPEC who wrote (2063)	7/9/1999 10:36:00 AM
From: mark garner	Read Replies (1) \| Respond to of 2414

". It could take years for smaller start-ups to get that many accounts. It will cost many millions or hundreds of millions of dollars in profits for the larger institutions to implement a full-scale, low fee, high interest, internet banking website." i doubt it. what about the possibility of a the likes of a national bank spinning off a separately run internet only subsidiary? do you think that they will sit around and watch the likes of Net@Bank dominate this area? how many brick and mortar banking customers are aware of a Net@Bank? i would have never heard of it if i wasnt an investor and i am not interested whatsoever. what about the competition from Etrade/Telebanc?? Etrade has a huge audience to offer banking services to and i would suspect that this offers them a significant competitive advantage.

To: VALUESPEC who wrote (2063)	7/9/1999 10:43:00 AM
From: Mike Milde	Read Replies (1) \| Respond to of 2414

valuespec, I don't think anyone is arguing that NetBank has advantages over a bricks-and-mortar bank. The concern about competition has to do with one of the other Internet only banks. NetBank is not the only one. Why do you feel it will takes years for other Internet banks to get 75,000 accounts? That's really not very many. Getting accounts is the easy part - you just offer no fees, good rates, and do lots of marketing. What is NetBank doing that other Internet banks are not?? The one advantage NetBank does have at this point is name recognition and that counts for a lot. But I'm not sure how far that will take them. You also seem to assume that a growing company equals a stock that moves up. Investors have already priced tons of future growth into the stock. NetBank can easily grow for years while their stock price falls. Mike