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To: KLP who wrote (23949)1/30/2001 1:25:13 PM
From: Green Receipt  Respond to of 28311
 
Actually it might be all part of jain's plan.

run the shares into the ground.
Go private, buy back all shares for next to nothing.
continue to collect revenues.

Then at some point in the future.

1) IPO
2) Tons of PR, get people to buy in
3) Sell lots of shares at regular intervals.
4) wait for shares to crash
5) Go private, buy back all shares for next to nothing
6) collect revenues for awhile
7) Repeat steps 1-6.



To: KLP who wrote (23949)1/30/2001 3:56:59 PM
From: David Howe  Read Replies (1) | Respond to of 28311
 
<< How much is a company worth if it promises you it will lose money each quarter? $8 a share? $12? None? The latter is more likely than the former two. >>

Give me a break. If they lose $0.14 next year like they are suggesting, that's only about $45 million. They have $400 million in cash and investments.

Many, many, many companies lose money for many, many years in a row and go on to be multi billion $ enterprises. Witness AOL, Yahoo, AMZN. I'm not suggesting that these stocks are great investments now, just that they lost money for many years and traded on their FUTURE earnings potential. AOL for one has succeeded in reaching that earnings potential and now is worth many billions of $.

Dave