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Biotech / Medical : Chromatics Color Sciences International. Inc; CCSI -- Ignore unavailable to you. Want to Upgrade?

To: George Kirlin who wrote (761)	1/6/1998 12:50:00 AM
From: invest04	Read Replies (3) \| Respond to of 5736

George...I mostly agree with your comments, however... Based on my research and experience, I have the following thoughts re your comment that some folks may be inclined to sell their CCSI position because of their perception that "nothing" will be happening for awhile: 1. As you and others are well aware, the game of trading and investing is not so cut and dry, that anyone can say with any certainty, what may happen and when. Just when you think you "know" something, darn if the opposite doesn't happen. If the market was that simple, we'd all be sitting on a remote island with a nice salty margarita. In other words, I would NOT necessarily jump to the conclusion that CCSI is "dead money" till some announcement is made re some sort of marketing alliance or distributorship arrangement(s). 2. As has been previously mentioned here, it is a fact that CCSI has been approached by a number of institutional folks who are interested in a possible investment and who are in the process of doing their due diligence. If you ASSUME that these folks will not move into a position without first being aware of the revenues that any type of a joint marketing or distributorship agreement may generate, you are INTELLECTUALLY correct. However, I am not so naive to think that those folks are on an even playing board with you or me. They know the number of shares outstanding and they know the float. They also know that 20% of the shares are already held by other institutions, and that there are some major individual stockholders holding substantial positions. That doesn't leave a lot of shares left. Maybe they will wait till after the split and after the revenue numbers to be generated by any joint agreement will be announced...but maybe they won't, and it should be apparent that it doesn't take much buying interest to significantly move the share price. 3. Fred Frank and Lehman are well positioned in the financial marketplace. I'm sure they are honest, sincere, and Boy Scout types, but I also am realistic to assume that their interest in CCSI will not be kept within the bounds of their conference room. On the assumption that CCSI has very substantial interest (translated to mean, significant interest by large multinational companies who are willing to pay big bucks for the right to use its technology), I doubt that those recipients of information from Frank and Lehman will wait till after CCSI's announcement to accumulate a position. 4. There may be other information contained in the proxy materials that in conjunction with the announcement of a stock split, may ignite a few light bulbs in the minds of a few, as to what is going on, which in turn may generate some more buying interest, e.g. make the link between the stock split and other information contained in the proxy materials. 5. The recent release indicated that during the first quarter, CCSI would be completing prototypes of its hand held device, etc. If I was a CEO, I'd be using the first quarter language to protect me if there was any chance of experiencing a delay, even though I anticipated it would be completed very shortly. In short, I don't personally believe that it's a "taken for granted fact" that CCSI will be "dead" money till some type of marketing alliance of distributor agreement, etc., is announced. I do believe the statements of CCSI's CEO should be taken at face value and not viewed as fluff. The contribution of Frank and the other recent appointees should not be underestimated. The statements of Skip who posts here, should similarly be taken sincerely, and not as the meanderings of a wishful investor. Given that, it's simply a question of how to position yourself in advance of the news. At this point in time, CCSI has not been "discovered"--this is the time to be establishing a position, not liquidating it. My point is, if the news is going to be that good, as I believe it will be, I believe you'll see buying interest well in advance of the news, and that in and of itself, is a reason to remain invested in order to benefit from the appreciation in the share price.