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Strategies & Market Trends : Rande Is . . . HOME -- Ignore unavailable to you. Want to Upgrade?

To: Rande Is who wrote (9374)	7/10/1999 10:04:00 AM
From: xcr600	Read Replies (1) \| Respond to of 57584

BDE... One more reason for the stock to be/have been shorted, at least in the short term. From recent s-3. The cheaper the stock price, the more stock the buyer receives. Also a better discount over prevailing share price. Anyone ask how many shares were sold with this round of financing or if it is completed? If not, we may see further downward pressure. At least the stock behaved appropriately with todays news. All IMHO x OUR SALE OF SHARES AT A PRICE BELOW THE MARKET PRICE OF OUR COMMON STOCK WILL HAVE A DILUTIVE IMPACT ON OUR STOCKHOLDERS. We have entered into a securities purchase agreement with an investor that allows us to sell to the investor up to $6,000,000 worth of shares of our common stock at a discount to the then-prevailing market price of our common stock. The table below sets forth percentages of our common stock the investor would own if we elected to sell the entire $6,000,000 worth of stock under the purchase agreement. The percentages are based on our closing share price of $6.375 on June 25, 1999, and on assumed prices of $4.78 and $3.71, which prices represent a 25% and 42% decline, respectively, in our June 25, 1999 closing share price. The percentages are also based on the number of shares of common stock outstanding on June 25, 1999. We cannot issue to the investor more than 19.99% of our common stock that was outstanding at the time we entered into the securities purchase agreement, which equals 13.8% of our common stock outstanding on June 25, 1999. Page 11 Percentage Percentage of Discount to Assumed Outstanding Market Price Market Price Common Stock ------------ ------------ ------------ 0% $ 6.38 8.3% 25% $ 4.78 10.8% 42% $ 3.71 13.8%

To: Rande Is who wrote (9374)	7/11/1999 12:02:00 AM
From: Rock_nj	Read Replies (1) \| Respond to of 57584

Rande Is, I'm thinking about trading full time. I heard a guest on CNBC a few months ago state that many traders are paying more taxes than they need to be paying, because they don't set up a corporation and pay the corprate tax rate of 20%. I was wondering if you know how a trader would set up company (or someone that would know this), and how it would work (i.e. how do you draw down a salary from the "company" trading profits)? Thanks!