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To: ted w. kentzel who wrote (5846)	12/22/1997 3:55:00 PM
From: Pr-Ac Man	Read Replies (1) \| Respond to of 10368

Who cares whether the warrant call was 100% successful? If only 2/3's of the warrants were exercised, it would be over $10M for BNGO. (I'm sure it's over this amount.) Further, for each warrant not exercised, it means one less share of stock to pull down the eps. It's a win-win for BNGO. The only negative has been the lower stock price for the shareholders/warrantholders. This negative has no effect on longterm fundamentals of BNGO. Ted: I agree with you. Don't get me wrong (because I am in it for the long term), but I've been a "closet 2/3 warrant call" shareholder for awhile. I think the conversion will be greater than 2/3, but I think 2/3 would be just fine. As you mentioned, it would put a good chunk of change into BNGO to continue an aggressive M&A strategy in 1998, it would still provide the assets required for NASDAQ listing (I believe that's right), and it would reduce the dreaded "dilution" effect. The final point is the one I'm most concerned about right now. Though I want BNGO to prosper long term, I think there is the need for some price stability short term. And a good 4Q earning's report would be just what the doctor ordered. Reducing the dilution of earning's by 1/3 would go a long way toward guaranteeing that. Anyway, it's all moot now, and what will be, will be. I am glad that we have this "W" thing behind us, and now we're all on the same team. PA P.S. BNGO closed at 5 5/16 -- up 3/32 on the day and up from an intraday low of 5 1/32. I like those numbers!!!

To: ted w. kentzel who wrote (5846)	12/22/1997 4:12:00 PM
From: B-MAN	Respond to of 10368

Ted - I never said that the warrant call has to be 100% successful. I'm sooooo sorry that I dared to question the consequences should the warrant call be successful, but FAIL to meet YOUR and everyone else's expectations (at least 2/3?). What I prudently stated is something that CAN POTENTIALLY happen (i.e. further decline in P of BNGO) if WARRANT CALL does not meet our expectations, just like when last qtr's earnings were not met. PERIOD. Further... "It's a win-win for BNGO." - sounds like claims people made about doubling their $$$ w/BNGOW w/ "no downside" -> review history. "Further, for each warrant not exercised, it means one less share of stock to pull down the eps." - yea, but if as you say 2/3 are exercised, won't THESE NEW shares dilute EPS even as warrant $$$ is used to fuel co. grwth?