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Microcap & Penny Stocks : FAMH - FIRAMADA Staffing Services -- Ignore unavailable to you. Want to Upgrade?

To: lmw who wrote (845)	1/7/1998 5:16:00 PM
From: Dave Shares	Read Replies (2) \| Respond to of 27968

Your questions point to the great mystery of the OTC-BB arena, LMW. There are many ways to finance acquisitions when the word "stock" is mentioned. It may be restricted (good) or not restricted (not good) It may be restricted for up to a year (good) or restricted for only 45 days (not good) It may be preferred stock that may be convertible into common stock at a price which is higher than the current market (this would be OK to me) Now, what is FAMH doing in precise terms to finance this acquisition ? I don't know, but hopefully someone will soon learn. If FAMH were filing SEC reports, we'd know, but they are not yet doing so, so we don't. I'll offer this hopeful observation. If they are acquiring companies with proven revenues, chances are that FAMH can obtain better financing terms than if they were trying to finance the possibility of future revenues. I'm hopeful that FAMH will get a good deal for what it is they have to finance, and it is as yet unclear as to how much of the previous 504D financing is still in cash to facilitate this acquisition. Having said all this, maybe we can all agree that maybe these are some of the reasons that a company with promise on the OTC BB trades for .40 per share, when other temporary staffing companies trading on the national exchanges sell for considerably more. Looking forward to future gains, and patiently waiting. David

To: lmw who wrote (845)	1/7/1998 7:43:00 PM
From: Brad	Read Replies (2) \| Respond to of 27968

LMW, My understanding is that FAMH has some cash from their operating profits and some cash from their 504 offering that was done last September. If Myraid had a tax problem, they may have been forced to do something quickly. I suspect FAMH got a pretty good deal by being in the right place at the right time and being able to do the deal quickly. When I spoke to Ira, he seemed very pleased with the deal and he indicated that shareholders would also be pleased. I imagine we will find out before too long either by a news release or by info that comes out of conference calls. Best wishes, Brad