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Technology Stocks : General Magic -- Ignore unavailable to you. Want to Upgrade?

To: Seconds Out who wrote (9517)	5/3/2001 12:45:14 AM
From: hcirteg	Read Replies (1) \| Respond to of 10081

Batman- Sorry we could not catch up earlier....just listened to the call... The positives: I was thrilled to hear the enthusiasm and the confidence the two leading ladies portrayed during the call. IBM update announcement soon. Replacement person or news about how Danny Lange's technical know how is being replaced. Reduced expenses and per share loss year over year. Expected cash break even in 1 to 1 1/4 years. Onstar complete roll out by June 30th of this year. The negatives: Under $2 million in revenue for the quarter and lower year over year The need for "15-$20 million in new financing" by the end of the year. Jonathan Lawrence's blistering (yet brutally honest) questions about the company's overall viability My general thoughts: Everything was fine until Lawrence came on. He took me from euphoria to hell's gates in a matter of minutes. Unfortunately, Jonathan Lawrence, whilst an analyst, is a bright guy and well respected I would assume. One who has spent much prior time evaluating GMGC and at one time not too long ago, supporting a $20 price target. He was rather disturbed, to say the least and I feel that he will indeed issue a less than glowing report on GMGC in the days ahead. As much as I want to say that the good outweighed the bad in this call, well, to be frank, I can't. If I was to evaluate the stock based on sales potential, good ideas and management's intent to focus on a business plan that generates revenues and growth, then this was a great call. But there's this money thing and as you know, we have recently been discussing this "money" issue and our concerns since the day the Revere deal was signed. No matter how I internalize everything I have heard, I cannot shake the fact that Rose sees a need for $15-$20 million in new financing by the end of this year and I think they are relying on a higher stock price to support this effort. For the obvious reasons, that worries me. In conclusion, I feel like we learned tonight of our final shot at viability. Either this biz plan works to generate long term revenue growth AND short term (6 months) stock appreciation...or, we have bathroom wall paper. My fear is that 15-20 million is alot of $ to raise, particulary when you look at what it took to get a measly 2 million in the latest round. What will the stock do in the short term? I haven't a clue. I hope it goes to $2+ tomorrow on enthusiasm for our future outlook. Either way, I am sticking with the shares I have and will go down with the ship if fate is going to take us in that direction instead. My GUESS (read: hope)is that good news will begin to flow soon with IBM news and that Kathy has some surprises for us. She seems focused on shareholder value and what it will take to get the stock to move higher....yet we have heard that in the past too. One last thing...IMO, Steve Markman is 100% to blame for where we are today. Some have expressed disapointment for his departure. Me, I hope he didn't leave too late for us to turn around the mess we are in today. And when I say mess, please understand I refer specifically to our current cash flow situtation. Looking forward to hearing other opinions as well as the T/A from Jim and John and what all this bouncing around in price means to the technicals. HC