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Technology Stocks : CSGI ...READY FOR TAKE-OFF! -- Ignore unavailable to you. Want to Upgrade?

To: Andrew Vance who wrote (2205)	1/16/1998 10:17:00 PM
From: tech	Respond to of 3391

Andrew, _______________________ (reply to post #2205) RE: Pricing ========= From what I remember, (TED may be able to confirm this), ConSyGen decided to cut their price per line and go for the volume business. They adopted a new aggressive pricing strategy and also set up some tiered pricing based on the volume of code provided. It is very hard to estimate exactly how much each project is bringing in. For instance the Strategia project was signed a while back and it may be under the old pricing, LSI project is a dual project which involves migration as well as Y2K correction. In my previous posts I have used the figure of $.30 per line as the avg. price per line for all of 1998 my reasoning for this is that I believe that the price per line will dramatically increase one the flood gates open and the bulk of the work starts to come in. Even if these initial projects are done for less than that, I feel that the $.30 is a very conservative avg. because the price per line, in my opinion, will be way above that once the flood gates open. Furthermore, since the LSI project is a dual project it is hard to est. how much per line ConSyGen is charging. Some of the articles I have posted on this thread have pointed to a lack of upper level attention to the year 2000 and that most companies have yet to address the problem. I think last year everyone expected the flood gates to open in Q4 and when they did not, people started to wonder if this whole y2k thing was all hype. Well, those of us who have followed it closely know that it most companies were budgeting last year to start spending this year. However, there are still companies out there that have failed to address the problem at all. Once the realization comes in that they are screwed I think we will see a mad rush to start projects. Unfortunately for them, but fortunately for companies like CSGI, the resources needed at that time will be non-existent. This is another reason that I think that prices will shoot up. Too much demand going after too few resources. RE: Alliances ========== ConSyGen has announced 7 alliance partners to date. They are AGISS, SCBI, Strategia, INSI, Chase, Millenium Ohio, and Millenium Singapore. It is way too early in the game to be able to determine what size projects will come in from each one of these partners. At any given time a large project or several smaller projects could come in. In a previous post I stated that if each of the alliance partners only y brought in four (3 million line) projects in all of 1998 , that would add up to more than 80 million lines of code. Even if that code was converted at a CHEAP. $.25 avg. in all of 1998, (minus the $4 million burn rate), that would be $16 million in revenues. If we divide that by the total outstanding (16 million shares) that equals $1.00 per share. Even at a multiple of 20 x that would give CSGI a $20 stock price. Never mind the projects CSGI will bring in themselves. I think that we are seeing the beginning of the contract announcements. We saw the INSI and IDP announcements come in only two weeks apart. The company has done over 14 pilots and I believe that we will start to see more and more of them come back with the full projects. I am also expecting to see our partners start coming in with projects. With so many companies having not started projects yet, it is impossible to predict what will happen. Here are a few posts where I stated some of my observations and opinions. With all of the crap and other garbage that has been posted on this thread, they may have been overlooked. You may want to read them so you get a feel for why I bought the stock and what some of my views are regarding what the potential of ConSyGen Post RE: 10 Q =========== exchange2000.com Post RE: Alliance Partners and potential stock price based on revenue ===================================================== exchange2000.com Post RE: My views on the Automated Factory Approach and Why I think companies and other y2k service providers will have to use companies like ConSyGen ==================================================== exchange2000.com