Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Microcap & Penny Stocks : Rat dog micro-cap picks... -- Ignore unavailable to you. Want to Upgrade?

To: stockboy who wrote (1799)	2/27/2000 9:20:00 PM
From: RockyBalboa	Respond to of 48463

thestreet.com It's been an interesting new year for equipment leaser T&W Financial (TWFC: - news - boards), one filled with turmoil. Executives resigned, contracts were lost, bankruptcy was filed and employees were laid off. Not the signs of a particularly healthy company. The Y2Kraziness started Jan. 11, when the Tacoma, Wash., company announced that it lost a lease portfolio service contract worth an aggregated $270 million, which accounted for a third of the company's lease portfolio. The lost contract was the insult after the injury, hitting T&W in a particularly soft spot. In December, the company warned of trouble meeting operating expenses and put almost all its cash into restricted accounts for secured lenders. On Dec. 13, four executives took measures to slash overhead and reduced their collected compensation by $600,000. Then, after announcing the loss of sorely needed revenue, T&W Chairman and CEO Michael Price announced his resignation Jan. 20. The company announced that its talks with creditors gave them a week's grace period to figure out what its fate would be. Eleven days later, on Jan. 31, T&W Financial said it would file for bankruptcy when agreements with lenders expire. Two more executives, a board member and its CFO, resigned. The next day, T&W slashed half its workforce. Since this last flurry of news from the company, day-session interest in its stock has shot through the roof. It has averaged 570,000 shares of daily volume so far this February, which is a massive increase for company that rarely trades above five-figure volume and has dropped 90% in the last six months. Today, it fell 3 ticks to 27/32 on 1.7 million shares. Tonight, it rose 3/8 to 1 1/4 on 2 million shares on Island ECN. Why were late-night lurkers flocking to the struggling company? Company executives didn't return phone calls and message boards were unusually silent. One plausible explanation was confusion. Before today's day session, Time Warner Telecom (TWTC:Nasdaq - news - boards) released fourth quarter losses of two cents a share, crushing the estimated 15-cent loss en route to a gain of 11 1/4, or 18.1%, to 73 3/8. TWFC was the most actively traded Island issue on zero news. TWTC rose 18% after announcing good earnings. Maybe someone out there caught a late-night ride on the wrong ticker symbol.