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

To: John Madarasz who wrote (9766)	9/9/2001 9:34:05 PM
From: dgurgel	Read Replies (1) \| Respond to of 10081

I finally took the time to dig fully through the 10Q on the preferred redemption rights after delisting. It is bad but not quite as bad as I thought. If you are interested in this, see ragingbull.lycos.com. See also a couple of follow-up posts where another poster acquainted me with the lengthy appeals process. I still plan to attend the Tuesday investors conference in NYC provided my friend, a business associate for a decade who has done many deals of the size needed by GMGC, can get free to join me. Layton is the presenter. I will shut up during the presentation and will only ask questions later if my friend thinks he has an interest. I imagine that the brief, open-session presentation will have nothing that close followers do not know. My biggest area for questions would be the model GMGC has for forecasting VA revenues. Layton can not give that out completely, but I think I have a group of questions that would let me fill in my own model details. My second area for questions would be the strategy for facing the delisting possibility. I am particularly interested in the case where delisting happens and preferreds claim redemption. These events could have pluses. There is an opportunity to settle back into a nothing-but-Onstar position that is cash-flow positive by 2002Q2. It is tremendously difficult to adopt such a change in life style because the Valley still believes in the impossible dreams in spite of the general collapse. GMGC may have to be brought face-to-face with insolvency to force such a move. Market cap under a hunkered-down strategy would be pretty low, say 2X projected 2002 revenues, and some dilution during the transition would seem impossible to avoid.