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Microcap & Penny Stocks : JNNE - Jones Naughton Profits Via Mass Market Retailers -- Ignore unavailable to you. Want to Upgrade?

To: PATRICK S. who wrote (426)	6/22/1998 1:14:00 PM
From: Gary Economus	Read Replies (2) \| Respond to of 4624

Patrick, A family member is invested in both ANFS and JNNE; myself...only in JNNE. Details with respect to the ANFS-COSTCO relationship have been difficult to extract, as one would expect. Here is some information that has come our way thus far: --ANFS receives a commission only in the event that a home sale or loan closes. On a real estate transaction, the real estate broker agrees up front to rebate (approximately) 30% of either the buy side or sell side of the commission, which then comes to ANFS, who in turn rebates (approximately) 80% (of that 30%) to the consumer as a cash rebate. --On a mortgage loan, ANFS operates on (approximately) 150 basis points margin, 90 basis points of which is rebated to the consumer, and the 60 basis points retained as revenue by ANFS. --Point to consider: In its April 14 press release, ANFS announced that it had processed almost $1 billion in mortgage loans and over $256 million in R.E. transactions. --COSTCO receives no money from either the R.E. or mortage transactions. The ANFS service is strictly a free service to COSTCO members. COSTCO benefits incidentally through such things as member retention, and increased value and sale of memberships without increasing their (COSTCO's) cost. --ANFS/COSTCO should begin their rollout of services in California about now. --Consider the rumor that ANFS may be going private very seriously. The company denies it. Yet the 2.5:1 reverse split, the microscopic float, depressed share price, and absence of stock promotion lends itself very nicely to just that prospect. Regards, Gary