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To: LTK007 who wrote (733)	3/13/1998 9:09:00 PM
From: dzzhang	Read Replies (1) \| Respond to of 1195

The stock price will go higher when those who sold the stocks found this is a very positive news for the company. (Warrant was priced at a 52 week high of $20.85, rather than the erroneous $1 below what was being traded reported during the market was open.) The erroneous information of $1 difference has a big psychologic impact when the incorrect news hit the wire because investors don't want to see the company they own sell a large chuck of its share at under the fair market value. With the corrected price of $20.85, which is near its all time high, investors will feel confident since big guys are willing to pay a large amount of money at the highest price of the stock to buy 10% of the company (1.75M shares). So this is very positive development, especially in the situation where there is talk about using the proceeds to buy another company. If such a deal is in making, it should be a very good deal. This is because the investors (warrant buyers) and the company who must have a full confidence of the deal. Otherwise, no investor will commit so much money to the company's warrant. If there is no such a deal, then usually the company will come up with some good news in the next week or so to show these big money made a smart move before the warrant deal is closed on 3/25.