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Technology Stocks : VALENCE TECHNOLOGY (VLNC) -- Ignore unavailable to you. Want to Upgrade?

To: kolo55 who wrote (14363)	9/7/1999 8:02:00 PM
From: Zeev Hed	Read Replies (1) \| Respond to of 27311

Paul, I am not sure if the net shorting has increased that much, in the last two months the short position increased by about 150,000/month (the big increase was 600,000 shares total for the two moths prior to that). Even is you assume that the naked shorts are at 1.4 MM they are as stubborn as the bulls in believing they are absolutely right, and will not cover until the level of pain is impossible (except for those smart bears that are in it not for ideological reasons but for making money). So, you should not expect the naked short position to be less than 50% of its current assumed position of 1.4 MM shares after a massive rally (which, by the way, will probably be shorted as well). Note that in the last 12 months, the short position has increased by 2 MM shares (from about 400,000 shares last Sep to about 2.4 MM shares this August). That covers the period of the first and second tranches of the convertible to CC. I doubt this is a coincidence. If you assume that both tranches are "hedged, then, you do not have enough of a short position to cover the floorless feature of the second tranche. It may very well be that the only naked shorts are those riding CC's coatails, like Bill Wexler and few other brave souls. Of course, if a material event were to occur (where are those PO's), you could expect much more than the average volume we had recently, but the short position will sure provide some fuel for the advance if it were to develop. Zeev

To: kolo55 who wrote (14363)	9/7/1999 8:49:00 PM
From: MGV	Read Replies (1) \| Respond to of 27311

You, just keep buying. Short of confirmed market acceptance of a VLNC product, CC will not convert. A central flawed assumption in your conclusion is that VLNC certainly will succeed as a company. There is nothing certain there. VLNC might be up 1/2 tommorrow and another 1/2 the next day and even get back to 7 or 8 but, that does not change the weak fundamental position that VLNC displays. CC has plenty of time. VLNC may not have enough. There is no hurry to convert.

To: kolo55 who wrote (14363)	9/8/1999 11:09:00 AM
From: P. Ramamoorthy	Read Replies (1) \| Respond to of 27311

Real-Time Quote 08 SEP 1999 10:54 AM EDT Last: 4 31/32 Bid: 4 15/16 Ask: 5 Size: 50 x 45 Ram

To: kolo55 who wrote (14363)	9/8/1999 2:45:00 PM
From: Paul Moerman	Read Replies (1) \| Respond to of 27311

Paul, nice of our favorite gadfly to give you such excellent advice for a change! ;-) "You, just keep buying. Short of confirmed market acceptance of a VLNC product, CC will not convert. A central flawed assumption in your conclusion is that VLNC certainly will succeed as a company. There is nothing certain there. VLNC might be up 1/2 tomorrow and another 1/2 the next day and even get back to 7 or 8 but, that does not change the weak fundamental position that VLNC displays. CC has plenty of time. VLNC may not have enough. There is no hurry to convert." I think he may be in la-la land re his last sentence though. Given the volume we are seeing today, there must be a few nervous shorts out there (and for very good reason). Nice to see them doing the sweating again - as is only right and fair! <g> Still long, Paul