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Microcap & Penny Stocks : Star Technology STRR -- Ignore unavailable to you. Want to Upgrade?

To: Robert Marzullo who wrote (703)	5/16/1998 7:46:00 PM
From: Crueldog	Respond to of 872

Bob: At the end of march the Company had $113,000 of cash and 406,000 of short term investments. In April the Company secured two lines of credit. One with favorable terms, one with pretty bad terms. The got a 750,000 line @ prime plus 3% and service fees .75% to 1.5% secured by 80% of A/R. The other $300,000 prime plus one secured by 70% of Lumisys stock. Tapping into the line will not be dilutive. The Company will need this line to operate in the short run. The Company has signed significant contracts and agreements that will not be fruitful until the second half of 1998. As far as I can tell management has never made claims of great potential. That was Arthur. I think management is trying to make good things happen. They also have to be careful about issuing press releases because the NASD takes a dim view on Companies that issue a lot of positive releases when earnings are going to be less than good, and we have at least one more quarter of negative earnings to go. Would not matter except they have a hearing in June. I don't give them any chance to win, but that would pretty much close any remote possibility. I admit that we are on on a tight rope, but the Company appears to be on track. There really is no mystery here. All the information is available. Good Luck