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Technology Stocks : America's Doctor IPO via Medical Advisory Systems (DOC) -- Ignore unavailable to you. Want to Upgrade?

To: Glenn Petersen who wrote (21)	10/11/1999 3:21:00 PM
From: Glenn Petersen	Read Replies (1) \| Respond to of 30

The stock seems to be reacting to this news, though there is no real economic impact to DOC as the actual value of their AMDR stake is ultimately dependent on the success of the AMDR IPO. biz.yahoo.com Monday October 11, 10:59 am Eastern Time CORRECTED-Medical Advisory sees loss after charge In Oct. 8 Owings, Md., story headlined ``Medical Advisory says charge results in 9-mth loss' please read in fourth paragraph ... ``bought into last year for $3 million' ... instead of ``...bought into last year for for $1 million' (corrects amount). New fifth paragraph is added to clarify Medical Advisory losses in AmericasDoctor.com can not go beyond its $3 million investment. A corrected repetition follows: OWINGS, Md., Oct 8 (Reuters) - Medical Advisory Systems Inc. (AMEX:DOC - news), a 24-hour medical call center, said on Friday that a charge stemming from a new accounting method will push it into the red. The company said the non-cash charge, currently estimated at about $2.6 million, will result in a net loss loss of about $2.1 million for the nine months ended July 31. That loss will cost the company roughly $512,000 of net income it previously reported for that period. In September, the company reported net income $512,430, or 12 cents a diluted share, for the nine months ended July 31. The non-cash charge results from a change in the accounting treatment of Medical Advisory's 14.5 percent stake in AmericasDoctor.com, Inc., a medical Web site, which Medical Advisory Systems bought into last year for $3 million. Medical Advisory's losses in AmericasDoctor.com is capped at the $3 million investment. The new method is the equity method of accounting. The charge also stems from the recognition of expenses from the issuance during the current fiscal year of options and warrants to non-employees of the Company. Under the new accounting rules, the company expects to incur additional unspecified losses in its fiscal fourth quarter and beyond until it no longer must use the new method, as required by its ownership in AmericasDoctor.com. The company replaced its certifying accountant Stefanou & Company LLP with the firm of BDO Seidman LLP, according to a report from States News Service on September 30. ``I wish to emphasize that this non-cash charge has no effect on the liquidity of the company and does not reflect adversely on the underlying profitability of the company's operations,' said Ron Pickett, chairman of Medical Advisory. Shares of Medical Advisory Systems slipped 1/4 to close 11-3/4 in Friday trade on the American Stock Exchange.