Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Non-Tech : Bill Wexler's Dog Pound -- Ignore unavailable to you. Want to Upgrade?

To: Bill Wexler who wrote (2955)	8/10/1999 11:05:00 PM
From: TRIIBoy	Read Replies (1) \| Respond to of 10293

REFR has spent a whopping $15,727 in capital expenditures in six months! How ridiculous is that? How can you possibly run a business and only spend $15K in capital expenditures in six months. I have spent more than that! This is the figure that convinced me to short even more tomorrow. What a fraud.

To: Bill Wexler who wrote (2955)	8/11/1999 4:25:00 AM
From: Bill Wexler	Read Replies (2) \| Respond to of 10293

In the last paragraph of Research Frontier's latest quarterly report (date 8/10/99), the company reports that the Sanyo license for the use of its worthless "SPD technology" in flat panel displays has been terminated. <<Also as of June 30, 1999, Sanyo Electric Co., Ltd.'s right to use the Company's SPD technology in flat panel displays under Sanyo's 1995 license agreement with Research Frontiers was terminated.>> The company goes on to explain that the Sanyo license was terminated due to the company's "dormant status" and "management" changes". We believe that this is simply a cover story. The real reason that the license terminated is because REFR's SPD technology is not commercially viable. REFR has failed to disclose that GE's license has similarly expired. Mr. Saxe has explained however, that GE "lost interest" because "managers in charge of the project left the company". REFR also reported a net loss per share (on a fully diluted basis) 80% higher than the comparable 6 month period 1998. In the meantime, REFR continues to spend less on R&D (extremely unusual for a development stage company) and its accumulated deficit is growing at an alarming rate. The company is also accelerating the destruction of shareholder value by the use of warrants in exchange for the services of various stock touts.

To: Bill Wexler who wrote (2955)	8/11/1999 10:29:00 AM
From: Marconi	Read Replies (1) \| Respond to of 10293

Hello Mr. Wexler: REFR patents <<During the first half of 1999, the Company purchased 74 patents and patent applications from Glaverbel S.A. covering various inventions relating to SPD technology for which a lump-sum payment of $289,177 was made. In accordance with the Company's accounting policy, such amount was expensed.>> That is less than $4k/patent, which at this time would not cover the costs of filing and maintaining them. This implies the patents were obtained at cost or probably less than the cost of filing paper. That leaves no implied value for the IP. Seems like a paper-hanging exercise to me. And being expensed would indicate these have no time value either--often patents are amortized as IP. Unless someone knows of some specific reason otherwise, as a past corporate hack, my instant assessment of the 74 patents is that they are a stack of paper available at less than cost. Not an asset a going concern would value.... I remain short 1K at around 10, but it looks like this is going to be a 1 point oscillator for the most part. Still, 3 or 4 turns a year makes a fair gain and there seems to be little upside to me and some potential for a rationalization to a penny stock some day. Best regards, m IP = intellectual property