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Microcap & Penny Stocks : Ames Department Stores (AMES) -- Ignore unavailable to you. Want to Upgrade?

To: Eric mulay who wrote (1785)	11/9/2000 7:05:52 PM
From: Market Tracker	Respond to of 1911

Hmmm...indeed. Today's news took me by surprise, the only warning being Moody's consideration of a debt downgrade in the news yesterday. Listened to the conference call at the Ames site this morning and got the general feeling that Ettore sounded a bit contrite. I think management's credibility quotient has diminished greatly in many investor's eyes, and it will take some doing to re-instill that lost confidence. He might as well begin with his own salary which works out to practically $0.26/ share pretax, because corporate surviviblity is now the top concern. SG&A cuts, along with a Capital spending reduction of $100 mil. and only 5 new store openings next year, head in the right direction, but they still have much more to do. As Yogi said, this is probably dead money for the foreseeable future, but should the company right itself in time, the patient gambler could realize good returns over the next 2 years. Now I know many will probably jump ship, and I can't say I really blame them, but I'll continue to hold, and probably average down a tad, once retail shows me solid evidence of upward progress. That may be a while. What you have to ask yourself is do I believe? It also is likely that the presidential election will not be settled for some time, (November 17th at the earliest, when the overseas absentee ballots must be all in and counted), and that will continue to weigh heavily on the stock market. As Ettore said in the press release, "its been a tough year".