To: rjm2 who wrote (3910 ) 8/28/2003 8:19:39 AM From: GARY P GROBBEL Read Replies (1) | Respond to EGAM...rjm...you have to give investor's time to understand the story and new method of distribution. The $.16 per sh net imc for the year is not just sustainable but they will improve on it IMO. And here is why the $19.95 price point should meet with some success...remember, the $9.95 pp will remain the stalwart....they are simply going to expand the title count in the $.19.95 pp sector......their shelf space amongst retailers has gone up 50%, they are very careful about placement and purchase points, and they have a great deal of experience in packaging the right titles in a pack to provide the best value for the customer. If they were not metting customer demand their shelf space would not be going up...it would be declining......and shelf space and purchase point locations are EVERYTHING in the software game...plus they market well thru their www site. And let's also remember we are talking about a $.60 stock, not a $6.00 stock...where is the downside risk here? Zip, zero, nada. Upside...people become more familiar with the new marketing approach, understand the numbers, and take a whack at a TTM PE of 4. Stock should be over 1.00 soon.
