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Microcap & Penny Stocks : ADOT - BIOMODA: Profitable Technology with Purpose -- Ignore unavailable to you. Want to Upgrade?


To: JOHN WHITE who wrote (1119)6/21/1998 2:43:00 AM
From: BIGFRED  Read Replies (1) | Respond to of 4650
 
Hi John:

Thank you for taking the time to keep us informed. Wondering what is next week's news is.

Fred



To: JOHN WHITE who wrote (1119)6/25/1998 10:27:00 PM
From: JOHN WHITE  Read Replies (1) | Respond to of 4650
 
***** NEW 10 PART ADOT INFORMATION SERIES ......PART 10*****

PART 10.........ADOT PAST, PRESENT , FUTURE......SOME OBSERVATIONS

One of the most difficult and challenging task of management in start-up companies is the acquisition of funding. In the case of ADOT the securing of these funds has been more demanding than with some other companies. ADOT - due to their technology laden product - has taken longer longer to bring their SLM billboard to production/revenue status. Indeed, more research and expense is in their immediate future. While the Company has always been able to raise an adequate amount of money there have been disappointing set backs.

A key part Of ADOT'S planned funding was to be secured in the acquisition of a "space and information technologies development firm" based in Albuquerque, NM. Nearly a year ago ADOT press releases were optimistic about this acquisition. The PR's indicated that the acquisition candidate had pre-tax profits of $1.5 million during its first year of operations. ADOT management seemed positive about the success of this merger for nearly the remainder of 1997. Quoting from an ADOT PR July 8, 1997: " This acquisition will enable us to advance our product capabilities and technical expertise in addition to increasing of 1997 consolidated revenues to an estimated $9 million."
The key words in this release were : ADVANCE OUR PRODUCT CAPABILITIES AND TECHNICAL EXPERTISE. In plain language I believe they were saying that the acquisition would provide the necessary revenue stream to finance the equipment and the additional technology needed to get to get into production of a "total package" SLM/PLZT billboard. This total package would include some needed technology from Literal Corp. of Denver, Colorado.

This acquisition has not happened and any mention of it seems to have evaporated with the subsequent PR's regarding ADOT's relationship with Biomoda.
It seems that with the failure of this acquisition ADOT has not been able to move into production of its "total package" as quickly as anticipated.

With each failure new doors sometimes open and such is ADOT's good fortune. Without going into the details a member of the BOD pointed the Company in the direction of Biomoda (see the Brad's ADOT header for complete Biomoda information). Biomoda represents a new source of revenue for SLM production and technology acquisition AND much, much more. Initially any revenue from this Biomoda venture looked like light years away( the 4th Q 1999) but recent information suggests some revenues as early as this year. BUT the real prize for ADOT - as Brad has pointed out from the beginning in his great research would be a buy-out of BIOMODA. The financial windfall of ADOT's investment in Biomoda could mean tens of millions to ADOT's coffers in the next 12 to 18 months!

Business goes on and funding must be in place to assure a steady move towards production. In ADOT's 10SB submitted this week to the SEC it was revealed that 1 million shares were to be sold starting in March of this year. I believe these shares have entered the float and are part of the recently revealed increase of outstanding shares.
(In the Offering Circular of Jan.21, 1997 it was indicated that ADOT would do this at about the same time as their first billboard would be delivered).

RAMP-UP/TECHNOLOGY AQUISITION FUNDING IS NOW THE KEY PUZZLE PIECE THAT - ONCE IN PLACE - WILL LEAD TO A RAPID PRODUCTION/REVENUE GROWTH MODE.
ADOT'S returns from its investment in Biomoda could provide more than enough funding to implement the use of its' patented technology in a vast array of products ranging from outdoor billboards to laptop computer screens to medical diagnostic equipment screens and on and on.

It should be mentioned here that the appointment of Dr. Garth Gobrli as a science advisor to ADOT is a VERY encouraging sign. Dr Gobeli is a co-inventor of some of ADOT'S core technology and is highly touted in several scientific areas the Company is in. Dr Gobeli's employment indicates that ADOT is equipping itself with the personnel to move into new areas of research and production.

The licensing of certain patented ADOT technology is a strong possibility in the not too distant future. Licensing would have a dual purpose . A direct benefit would be needed revenues. However a second and less obvious but equally important aspect might be patent protection.
There is always some chance that a foreign or even a domestic company could illegally infringe on ADOT'S patented technology. In this case ADOT'S only recourse might be a potentially long and expensive court battle. A protracted court trial could greatly injure or even bankrupt the Company.
But if this technology were licensed to a large company with pockets deep enough to do extended court action it would discourage any thieves interested in AODT technology.

All in all ADOT is very much " on track" . While they appear to be about 6 months behind their estimated (1997) timetable they do have a set schedule or sequence of growth and are sticking to it with the determination and flexibility of a successful company.

PLEASE NOTE:
The primary objective of this 10 part information series has been to acquaint investors with some detailed resource materials that - in the past - have been difficult to acquire. While I've tried to present information that is true I can not vouch for its accuracy. I am not in any way associated with Advanced Optics Electronics, Inc. (ADOT) other than owning shares of its common stock. My opinions expressed in this series may or may not be an accurate analysis of the subject addressed. I urge each person to do his or her own research and draw their own conclusions before investing in ADOT or anything else.

I've enjoyed doing this series and hope it has helped those who have taken the time to study it.

My best regards to all,

John White