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Microcap & Penny Stocks : ADTC -- Ignore unavailable to you. Want to Upgrade?

To: MC Niemi who wrote (269)	5/12/1998 5:26:00 PM
From: Bob Davis	Read Replies (2) \| Respond to of 329

I do not yet know why ADTC fell abruptly this afternoon. I suspect that someone put a substantial block of around 8,000 shares out on the market around 2:40. As the price dropped to find a market for this stock, this triggered additional sell orders, which fed the move. There is absolutely no news. I just got off the phone with Glenn Walters, who had been in a meeting (and I believe was completely unaware of the price move...) and he knows of no reason for this move. Earnings will not be coming out for a couple of days - however, I have no specific information about the upcoming results. I played "20 questions" with Glenn for about 10 minutes, and got no substantive information, but most CEOs try to get off the phone fast if they are about to release bad results and I start asking "cute" questions. The ironic thing is that I've just been reviewing the newly-released 8-K for the ABSA acquisition and it actually looks quite good. I'm going to try to update everything that I've got on ADTC and put something out later tonight. Bob Davis The Napeague Letter napeague.com

To: MC Niemi who wrote (269)	5/14/1998 6:58:00 AM
From: pres/ceo	Read Replies (1) \| Respond to of 329

Making a profit is all about producing above a break even point. Getting above breakeven depends upon demand. The good news is we have the demand...now we have to reduce our fixed and variable costs, ramp up production and make money. Sounds easy! Variable costs in a ramp up situation are often higher than normal since you have to train new staff and your scrap costs tend to drift higher. This has been our situation for the past six months, but I see those costs now coming down.