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To: Jalali who wrote (4329)3/16/1998 8:50:00 AM
From: BayTay  Respond to of 4571
 
We've already analyzed this lack of cash issue in Feb after the report came out. I had speculated that the new contracts (Merck and Kaiser) would solve the cash problem....other news/comments have indicated the "contracts are rolling in"; is there some way to get confirmation of this between now and the next qtr report??

Bret



To: Jalali who wrote (4329)3/17/1998 11:55:00 AM
From: HerbertOtto  Read Replies (1) | Respond to of 4571
 
Jalili, >> Suggest anyone looking at DDIM now look at their rapid increase in accounts payable and rapid decrease in cash. <<

If companies didn't grow and need cash infusion, there would be no need for Wall Street stocks or bonds. If DDIM is growing too fast for their capital, there are lots of highly paid folks in New York who will be happy to help them get some more. There must be some money left over after all the Internet pie-in-the-sky IPOs.

The old religion of business is 'fill a need - profitably'. I have no doubt there is a need for DDIM's services. Check out some of the names on the client list. The question of profitability comes next. According to the CFO, this is the year of cutting costs. It is preferable for a new company to get contracts first - then cut costs. The other way around would be disastrous for a new company.

If you can, talk DDIM stock down a little more - say to 13 3/8. I would like to add some more stock there. Then give the DDIM management another year to grow and profit.

Good luck,
Herbert