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

To: Marconi who wrote (3343)	9/2/1999 11:19:00 AM
From: Marconi	Read Replies (2) \| Respond to of 10293

Hello Mr. deCarmo: WEBB appallling! I could not find the Castle Creek convertible disclosure yet, but I scanned WEBB's most recent 10QSB. It seems that the major activities are raising money and paying it to a small circle. Compared to these two activities, sales to customers is a very minor activity, less than 10% of recent transactions activities. For example, Note 3 of the 10Q shows acquisition of Durand Acquisition Corp, a failing company more than a year behind in financial reporting for $13.6 million with WEBB booking $13.7 million on their books for intangible assets from the acquisition. Appalling! Note 10 indicates the COO is paid $15,000 cash per month as a consulting fee plus a chunk of stock monthly on top of that. The COO compensation alone is half of revenues. How can an executive take more than $200,000 a year out of WEBB that has less than $1 million in revenues. Appalling!!! I checked this morning. WEBB was no good for shares to short. I intend to increase my short position 2X to 5-fold. Best regards, m the URL for the free Edgar Online report is: edgar-online.com and here are Notes 3 & 10 NOTE 3 - ACQUSITION OF DURAND COMMUNICATIONS, INC. On June 30, 1999, Durand Acquisition Corporation ("DAC"), a wholly owned subsidiary of the Company, completed a merger with Durand Communications, Inc. ("DCI"), a developer and marketer of Internet "community" building tools, by exchanging 944,763 of the Company's common stock for all of the common stock of DCI at an exchange ratio of 2.46 shares of the Company's common stock for each share of DCI's common stock. In addition, outstanding DCI options and warrants to purchase common stock were converted at the same exchange factor into 233,700 options and warrants to purchase the Company's common stock. The acquisition of the assets and liabilities was recorded using the purchase method of accounting whereby the consideration paid of $13,573,674 was allocated based on the relative fair values of the assets and liabilities acquired with the excess consideration over the fair market value of tangible assets of $13,669,270 recorded as intangible assets. NOTE 10 - COMMON STOCK In February 1999, the Company entered into a six-month agreement with an individual to provide the Company consulting services in his capacity as the Company's Chief Operating Officer. Pursuant to the terms of the agreement, in addition to a monthly cash fee of $15,000, the consultant earned shares of the Company's common stock determined by dividing $15,000 by the fair market value of the common stock on the last trading day of the month. During the three and six months ended June 30, 1999, the Company issued 3,020 and 8,497 shares of common stock under this agreement, respectively, valued in the aggregate at $45,000 and $90,000, respectively.