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Technology Stocks : 3DFX -- Ignore unavailable to you. Want to Upgrade?

To: Mark099 who wrote (16938)	2/7/2003 12:31:06 AM
From: chuckles58	Read Replies (1) \| Respond to of 16960

Mark, sorry I didn't respond sooner, not much activity over here. Barely any more on RB board for TDFX. The reason I think TDFXQ could be worth as much as $.25 is as follows: Debts are approximately $34MM, including unexpired leases. Since 3dfx entered Ch. 11, they can eliminate most of the unexpired leases (ala K-Mart). That may get the total liabilities down to $29MM or $30MM. At that point, I feel the bankruptcy court could force the creditors to either leave and get nothing (as would 3dfx shareholders) or take their share of $25MM from the first 1MM sh. of NVDA. After that, 3dfx could receive the second 1MM sh. of NVDA. If I'm right, they would pay the old officers their liquidation bonuses of somewhere between $2-4MM, then the remainder of NVDA stock would be available to 3dfx s/h. How many shares of the 2nd million is the big question. With NVDA currently at $10/sh. there would be approx. $6MM left for us. At 40MM sh. total, that would be $.15 per share. If NVDA rose only to $14, the net would be $10MM to s/h, or $.25 per share. I know this scenario seems far-fetched, but I think it could very well happen, as I can't imagine the creditors, many of whom have already received about half what was owed to them, would just turn their collective noses up at $25MM. Fortunately, I've reduced my average cost from about $.33/sh. to $.01-.02 per sh. Stranger things have happened. CB