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Technology Stocks : SYQUEST -- Ignore unavailable to you. Want to Upgrade?

To: James Choi who wrote (6131)	4/10/1998 4:03:00 AM
From: Andrew Shih	Read Replies (1) \| Respond to of 7685

>>The possibility of these warrants being exercised has been there all along. It is clearly warned in their SEC document. Now, wouldn't the market have figured that fact into the price of the stock? Or will it take this news as something unexpected? It seems to me that the market must have reacted when the warrants were issued, not when it is exercised. << Well, I'd bet that most of the investors in SyQuest come from the retail side of things. I doubt there is a lot of Mutual fund money here. Thus, some of this information tends to be overlooked. Heck, the 5-10x increase in shares outstanding has actually improved the eps numbers. -Andrew

To: James Choi who wrote (6131)	4/10/1998 10:15:00 AM
From: Dale Stempson	Respond to of 7685

Re: Warrant conversion news >>>Now, wouldn't the market have figured that fact into the price of the stock? Or will it take this news as something unexpected?<<< James, The warrants were in the price of the stock. The good news was that conversions were made which added much needed cash at a critical time for SyQuest. The bad news was that the EdHeads had to offer extreme incentives in order prompt the conversions. My opinion is that the press release will be mostly viewed as a positive. Regards - Dale