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Technology Stocks : America On-Line: will it survive ...? -- Ignore unavailable to you. Want to Upgrade?

To: Bob Kimball who wrote (8255)	2/25/1998 12:38:00 PM
From: PAL	Read Replies (1) \| Respond to of 13594

AOL has to invest heavily in new infrastructure with new equipment to stay competitive. The company wants to use its stock as currency a la Wayne Huizenga. But those days are over. Right now the best thing for AOL is Robert Pittman who can sell Clinton's portrait to Saddam. Yet the saturation of good news make it an overkill. Do not forget that barriers for entry for ISP are not that prohibitve for some large companies in the telecommunication sector. Some of them do have aggressive marketing departments such as Earthlink which gives the number 1-888-QUIT-AOL waiving the set up fee. Will not be surprised if Earthlink will issue news release shortly as how many AOL members defected.

To: Bob Kimball who wrote (8255)	2/26/1998 12:54:00 AM
From: George Bielski	Read Replies (1) \| Respond to of 13594

>>George, March could have a good down move but my best guess is that it will be coming within one to two weeks of expiration, and will be starting from a level above 125. I think the current drop will be short-lived but in light of expiration may be a decent place to unload 115 puts. <not advice, just an opinion!> The AOL bull has been truly amazing. Now in its 16th month with not one down quarter. I am as surprised as any bear on this board; I thought it was curtains at the end of December. The only consolation for the painful patience is that extended blowoffs, like we've seen since then, almost always lead to severe corrections. Patience is tough for bears as we're told that declines happen fast and that you can profit quickly. I often think I should remember the real bear, who has the sense to hibernate when conditions are not right<< Bob: good advice. I was looking to unload this AM and got more grey hair when the stock moved up. Nothing there (catastrophic i.e. bad earnings) to cause a sell-off. Everyone in the world knows AOL is overpriced thus it can stay overpriced for a long time. Need something like a downgrade for reason of price to get the ball moving. I don't think that's coming. Besides, IMHO AOL knows how to play the game for whatever reason they have to keep the price up.