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To: Kelvin Taylor who wrote (40702)	6/17/2002 9:52:53 PM
From: E.J. Neitz Jr	Read Replies (5) \| Respond to of 53068

Your comment was "forecast to bleed money". My comment that they are cash flow positive relates to your bleed money comment. They are cash flow positive and the S&P comment about operating losses is correct. Do you know the answer: how they can be both cash flow positve and also have operating losses? I bet BWAC knows that answer? Ron?

To: Kelvin Taylor who wrote (40702)	6/17/2002 9:53:47 PM
From: DanZ	Respond to of 53068

I don't have a position in ADCT, but wanted to comment on your post. First, even if the analysts surveyed by First Call end up being right, ADCT would lose only 11 cents per share for the entire fiscal year. That doesn't seem all that significant, and analysts aren't always right. Second, a company can be cash flow positive even if they have operating losses. A cash flow statement has three sections: Operating, Financing, and Investing. It isn't hard to see how a company can be cash flow positive even if they lose money in their operations, especially if they only lose 11 cents per share. Last, the commentary that follows the estimates in your post looks a lot like the output of a service that used to be called "Second Opinion". I don't even know if they are around anymore, or if they sold their service to S&P or First Call? Like any trend analysis, they are right when the trend continues, wrong when the trend changes, and get whipsawed back and forth in a choppy market. Anyone that knows me knows that I am a big proponent of technical analysis, but I don't believe in letting a computer algorithm make my decisions.