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Biotech / Medical : GUMM - Eliminate the Common Cold -- Ignore unavailable to you. Want to Upgrade?

To: DanZ who wrote (827)	8/30/1999 12:21:00 AM
From: Mad2	Read Replies (2) \| Respond to of 5582

I was supprised to read that GUMM has/will contribute 3.5 mil to Gel Tech JV, which will be repaid of course (but what it shows is GUMM takes all the risk for 60% of the potential return, thats a bad deal). Months ago I asked who was going to provide the capital and of course no answer. The risk factors on pages 4-8 (that I won't repost here) are a must read. Dan, how is the Citiadl Prefered issue not dilutive? As far as GUMM being a young company WE HAVE INCURRED SIGNIFICANT LOSSES AND MAY NOT BECOME PROFITABLE We began operations in February 1991 and have a limited operating history upon which potential investors may evaluate our performance. We reported significant losses for the last three years and for the first quarter of 1999. We can give no assurance that future operations will be profitable. The likelihood of our success must be considered relative to the problems, difficulties, complications and delays frequently encountered in connection with the development and operation of a new business, the significant change in strategy in early 1998, and the development and marketing of Zicam, a new product.