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Biotech / Medical : PLC Systems -- Ignore unavailable to you. Want to Upgrade?

To: Jonathan C who wrote (847)	5/4/1998 3:43:00 PM
From: John F. Dowd	Read Replies (1) \| Respond to of 1202

To All: Some facts about the loan: I posted earlier on Yahoo johndowd May 4 1998 11:18AM EDT Just got off the phone with Pat Murphy CFO with PLC. If my notes are correct the terms of the debenture are. It is a five year note. No coupon i.e. no interest. The conversion price is 19.52 as of this moment and that was based on the 5 trading days immediately preceding the closing date of 4/23/98. Therefore the avg. of the 5 days preceding the close being 15.62 resulted in a conversion of 15.62 x 1.25=19.52. After 90 days there is a review of the conversion figure in which the note holder can take a review of the past 30 days and take the lowest of 5 days(not sure whether this is consecutive 5 days or not or not) to reestablish the price that is to be multiplied by 1.25 for the purpose of conversion. There is a call provision and that is based on the positive performance of the stock. I think the company, PLC, can't call it until the stock is 1.5 x the conversion price. Manufacturing wise they have all the facility and vendor support they need to support the manufacture of 20 units per month per 8 hr. shift. Two hurdles are left and everyone is aware of these: 1. Final FDA approval 2. Medicare reimbursement She was unable to explain the volatility and felt that the company had and continues to do a good job on their part to bring TMR to market. No hype in the call and very guarded vis a vis FDA getting offended by any attempt by PLC to hype the deal. Their morale seems good. In summary I was satisfied with the call and they were very forthcoming with info. JFD