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To: SargeK who wrote (52845)	10/12/1999 11:25:00 AM
From: Razorbak	Read Replies (1) \| Respond to of 95453

HMARQ Shareholder's Letter Sarge: I read the shareholder's letter a few days ago and got a good chuckle, especially about the implied mob connections. <g> I decided to bite my tongue at the time, since I felt that nothing productive would have come out of any impending discussion, but since you asked, I'll share my perspective. IMHO, it is pretty obvious that the shareholder was speculating with a penny stock in a market which he may have understood well, but under the financial risks of imminent bankruptcy, which he did not understand at all. At the end of the day, he fails to understand that, under the "Absolute Priority Rule", shareholders are at the very bottom of the pecking order, and everyone primes a shareholder... period! That's why general unsecured creditors (e.g., trade vendors like Hvide's fuel suppliers, caterers, tugs, et al) often get less than 20 cents on the dollar as a pro-rata distribution in a bankruptcy proceeding, and shareholders often get zilch. The very fact that the shareholder copied his letter to the SEC tells me that he doesn't understand the fundamental concept of the shareholders priority relative to other parties in a bankruptcy proceeding. IMO, it has always been fallacy to assess market value for a firm operating near bankruptcy based strictly upon the book value of the assets on a company's balance sheet, especially where there is goodwill involved (an intangible which is worthless in liquidation) and the equity market tells you that book value is obviously inflated relative to real market value. What I don't understand is why he is so disturbed by the massive dilution that is proposed in the Reorganization Plan, when management has indicated that this was practically inevitable from the very beginning of the bankruptcy proceeding, clearly outlined in press releases and 8-K filings shortly after the filing of the Chapter 11 petition? All of the above is just my opinion, of course. Hope this helps. Sam