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Biotech / Medical : Ergobilt (ERGB) - Ergonomic Chairs -- Ignore unavailable to you. Want to Upgrade?

To: Mama Bear who wrote (720)	2/28/1998 11:25:00 PM
From: Scott D. Hakala	Read Replies (1) \| Respond to of 900

Well Barb, You could call one of three different parties and find out that Asensio did in fact cover. I won't reveal sources on this thread for their sake but ERGB was monitoring its short position this past Fall. This wouldn't be the first time that Asensio got his facts wrong. Asensio did not tell the truth when he said that the Company was committing fraud or failing to disclose. It has been documented that Asensio misstated a number of material facts that he may yet regret. I know a number of the officers of that Company and I have personnally seen the products discussed by Asensio. The fact that a number of allegations made by Asensio are no longer even brought up on this thread ought to tell you that he was not telling the truth. Further, I saw some of the legal documents with respect to the Neutral Posture dispute and know what they say. Second, when I value a company I care about what its sales and earnings will be in the next couple of years, not in the next quarter. I am a long term invester in ERGB and nothing more at this time. My question to ERGB management has been: Can you deliver sales growth and earnings once these new acquisitions have been absorbed and are in place? I was not happy about ERGB taking large charges amounting to more than $.15 per share due to development activities, acquisition activities and legal costs. The fact is and remains that the Company is selling good products and will continue to sell good products. I'm betting that the Company's sales will continue to grow, its gross profits will continue to grow and that earnings will grow substantially in the coming year. A few of my friends have recently and independently made the same bet. Let's get down to the point. The officers of ERGB hold restricted stock. They can't sell it or trade it in significant volume for some time. The insiders were buying shares and not selling shares last summer. Thus, they had no incentive to try to temporarily boost the stock price. I know from discussions with key ERGB personnel that they believed that the Company after the acquisition of CTSS can potentially be worth far in excess of $25 per share. They are in the best position to know what their Company is worth.