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To: Dusty Vestal who wrote (8563)3/27/1998 5:18:00 PM
From: LFISKY  Read Replies (4) | Respond to of 27968
 
Dusty, your friend was right in a sense about reverse splits. Usually existing shareholders get hosed when a RS happens on a BB stock. However this situation is far removed from a normal reverse split. The whole issue here is getting a proper valuation. I too at first had reservations about this. But after thinking it through, I realized that this is just short of brilliant. Overnight we will be moving from the OTC, where we are completely at the will of MM's, to the Nasdaq, where our true value can be realized. Tell your friend to hold on to his shares and enjoy the ride.

"Sharpen the Saw"

LFISKY



To: Dusty Vestal who wrote (8563)3/27/1998 5:27:00 PM
From: Buster  Respond to of 27968
 
Dusty,

2 scenarios: If fahm had done a reverse split, there would
be 1/4 the amount of shares but 4 times the price. No change
in the fundamentals...higher price lower number of shares.

In the reverse merger there will be 1/4 the amount of Fahm shares
plus 1.4 million(ATXI shares) + .5mil(warrants).

Fahm shares are diluted by 20%
10mil fahm shares...plus 2mil ATXI and warrants

For the 20% increase in shares, Fahm receives a
company with no debt plus a listing on the Nasdaq.

There is a definate change in fundamentals because
now you have two companies under one roof. Plus
you have a nasdaq listing but I do not know how
to evaluate that.

comments anyone?

its all still a little fuzzy without audited financials.

Buster