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To: Dale Baker who wrote (600)	3/6/1998 1:37:00 AM
From: B Tate	Read Replies (1) \| Respond to of 118717

Dale What do you expect overnight on the US market? Will the Motorola news bring additional down pressure or has it been factored in by the Intel announcement? Curently Short RDRT, DJT and SPEH. Couldn't get a short on WDC (the spread is HUGE). Did manage to get out of WDC at the high on Wed. AM also looking at ONM (bottomless convertible) Rgds bt

To: Dale Baker who wrote (600)	3/7/1998 5:15:00 PM
From: jgideon	Read Replies (3) \| Respond to of 118717

Concerning RENT ... - Seems the stock responded by going from 6 to 7 on the Blockbuster news, 17%. Of course, the press release wasn't until a day and a half after the street knew about it. - Press release states "Rentrak will become another source to Blockbuster of pre-recorded video cassettes on a revenue sharing basis". Doesn't indicate how much usage of the Rentrak PPT system is expected or committed to. - EPS estimates from First Call were 0.39 (3/98) and 0.52 (3/99) before the announcement. Zack's indicates only 1 analyst. - Revenues down over the last year. Due to the absence of up front contract fees. EPS flat over last 4 quarters. ??? Without the Blockbuster announcement, where would this 33% increase in EPS have come from? Trend was not there in the financials. ??? How much revision will the Blockbuster announcement provide for 3/99 estimates? Has that revision already been priced in with the 17% jump? ??? After snagging Blockbuster, is there a huge amount of growth this company can do beyond that? Have they already caught their biggest fish? FWIW, the company trades at only 13.7 times 3/99 estimates, compared to a 33% projected growth. No numbers on long term growth. My first estimate puts a decent value on this company at $8.50, with upside potential due to earnings revisions for the BB deal. No position in RENT. jg