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Technology Stocks : Concurrent Computer (CCUR) -- Ignore unavailable to you. Want to Upgrade?

To: Goodboy who wrote (3820)	5/22/1998 9:00:00 AM
From: jeffbas	Read Replies (1) \| Respond to of 21143

Goodboy, two observations: I believe the dilution from the first 2 million warrants is zero now. I think the way it works is you hypothetically exercise the warrants in the calc and buy back stock. Only if the stock is above $5 do you get any dilution because you can't buy back as much as you issue at 5. On the arbitrage, I thought that comment was driven by the statement that future warrant issues would be at a 15% discount to the market, which if the price was "high" and SFA knew they were in the mail because of sales SFA could short the stock and convert the warrants to deliver as soon as they got them - putting "arbitrage" pressure on the stock. (I think these warrant questions are much ado about nothing and, if anything, a plus.)