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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Paul Senior who wrote (4266)	6/13/1998 2:21:00 PM
From: Michael Burry	Read Replies (3) \| Respond to of 78751

You could make that "Monie or Senior or Burry". Thanks for highlighting your problem areas, which also seem to be mine, and probably several others here. The holding...why is it so hard to imitate Buffett? On the subject of insider buying, I spent some time looking at this, and it turns out it is not too hard to find stocks in which insiders made buys at significantly higher prices than current ones. So either they misjudged the market or their fundamentals. I will still look in this area. Yahoo may not be up to date, but it sure makes it easy. It will be very interesting to see if any of these stocks see additional insider buying now that the market is turning down and their stocks have tanked even more. Mike

To: Paul Senior who wrote (4266)	6/13/1998 4:58:00 PM
From: Count de Monie	Read Replies (1) \| Respond to of 78751

Paul Senior, Your reply was quite insightful. Although I want to keep a stock for three years, a better valued stock always comes along and tempt me. The only time I am happy with buying value stocks occurs during corrections. I will take your advice and buy half of my position in CYMI and wait awhile before putting in the other half. Thanks Count de Monie

To: Paul Senior who wrote (4266)	6/15/1998 7:22:00 PM
From: Andrew	Read Replies (2) \| Respond to of 78751

XTON- parts are worth more than whole (from Yahoo post) these things are pretty good value plays when there is a catalyst present. Seems company announcements (see press releases and/or edgar filing) and recent 13-D filings may bring this one home. Lawndale files Executone 13-D In a filing with the SEC on June 15 1998, Lawndale Capital Mgmt filed a 13-D with over 5.8% of the shares of Executone Information Systems, (OTC-XTON), a Milford, CT-based company involved in voice and data communications systems. We believe that the value of the Stock in the public market does not adequately reflect the value of XTON's underlying businesses and assets. Our actual 13-D filing can be found directly in SEC's Edgar database at: freeedgar.com summarizing ITEM 4 of our filing: 1) Lawndale believes that, to preserve and maximize shareholder value, XTON's Board must take other actions in addition to "spinning off" its UniStar lottery subsidiary to shareholders. In this regard, Lawndale has been in contact with management and members of the Board of Directors of XTON to discuss the restructuring alternatives XTON plans to employ to maximize shareholder value. 2) Lawndale agrees with XTON's decision to reject a recent unsolicited "low-ball" acquisition offer for its $120 million revenue telephony business. Lawndale believes, however, that the Board of Directors have a fiduciary duty to negotiate in good faith with any party, (including that which has bid for the telephony division), when and if such bidder(s) present bona-fide offers for all or any part of XTON's operations within the range of values determined by XTON's recent restructuring analysis. 3) While XTON's computer telephony division has a large installed base and distribution network, recently introduced award-winning products, brand-name recognition, recurring service contract revenue and a federal/national direct sales force, Lawndale believes this division does not currently generate enough revenues to earn an adequate return for shareholders. 4) While Lawndale believes that the termination of geographic exclusivity previously granted to its largest distributor, Claricom may allow XTON to more rapidly grow revenues in Claricom's territories, further restructuring of the computer telephony unit is required to preserve and grow shareholder value. 5) Lawndale believes that XTON's Board of Directors should aggressively pursue a transaction or transactions that would generate additional stable computer telephony revenue leveraging XTON's fixed overhead costs thereby increasing operating cash flows. Transactions accomplishing the above-mentioned goal could include, but are not limited to, strategic alliances or joint ventures combining XTON telephony operations with synergistic industry participants that might also provide additional management with experience and demonstrated success in the telephony arena. 6) Lawndale has introduced XTON management to prospective customers and transaction partners for both its computer telephony and healthcare communications businesses. 7) Lawndale has also been in contact with other significant shareholders of XTON regarding all the above-mentioned matters. Lawndale may continue such activities.