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Technology Stocks : fashionmall.com, Inc. (FASH) -- Ignore unavailable to you. Want to Upgrade?

To: RockyBalboa who wrote (44)	12/30/2000 5:29:32 PM
From: Glenn Petersen	Read Replies (1) \| Respond to of 76

The fact that FASH is selling at a 40% discount to the proposed deal tells me that no one expects the it to go through. GENI might be the one to short. GENI had a positive book value of $4.7 MM at September 30. Back out the intangibles and the book value is a negative $1.5 MM. They are hemorrhaging cash. Acquiring FASH gets them enough cash to get through 2001. Internet kiosks in malls and car rentals! Not a lot of synergy in their business plan. Additionally, I doubt whether the management of FASH wants to cash out. The CEO, who owns 46% of the stock and founded the company in 1994, has other apparel interests. FASH also has a related party lease. On the other hand, these imploded cash rich dot com have provided some opportunities, though each one needs to be evaluated individually. Some will prosper and others (through reverse mergers) will be footnotes in future Form 10-Ks.