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To: johngmack who wrote (40068)3/6/2000 1:06:00 AM
From: Martin E. Frankel  Read Replies (2) | Respond to of 44908
 
John,

I couldn't agree more!!! Thanks for spelling it out in a simple and easy to comprehend fashion.

Best always,

Marty



To: johngmack who wrote (40068)3/6/2000 7:52:00 AM
From: REW  Respond to of 44908
 
****E-MAIL FROM PAUL HENRY****

Repost of what Paul Henry wrote me on Thursday:

Michael,

Change is difficult, and we never expected everyone to like it. However, we believe the actions we are taking are in the best interest of the shareholders, and many shareholders have called to congratulate us for finding a prominent investment bank that believes in our business concepts, our management, and our partners. The bank says they believe they can put together as much as $40 million of financing, a very unusual event for any small company. However, to raise that kind of money from sophisticated investors, they said it was unacceptable to have a stock trading in the pennies, and asked us to reduce the number of shares outstanding.
Certain investors think this is a great idea, others not, and we will certainly lose some of those investors who are looking to multiply their money quickly in a penny stock. Our objective is to use the funds we raise to enhance shareholder value, and to accelerate our progress to become a "real" company with substantial revenues and earnings.

There will be no "damage control" campaign because SEC rules strictly prohibit activities that could be viewed as "conditioning the market" while raising funds. Nor are we allowed to make releases about, or comment upon, either the financing or the restructuring. However, we will continue to release important news in a timely way.

Thanks for your past support. We hope you remain with us!

Regards,

Paul Henry