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Technology Stocks : America On-Line: will it survive ...? -- Ignore unavailable to you. Want to Upgrade?

To: Xpiderman who wrote (10487)	6/29/1998 5:33:00 PM
From: Steve Warkentin	Respond to of 13594

bought in today at $109..... oh well

To: Xpiderman who wrote (10487)	6/29/1998 5:59:00 PM
From: vegetarian	Read Replies (2) \| Respond to of 13594

If a 1Billion $ debt offering did not move the stock down, what is another 500M$ worth of stock offering? the fund managers can buy more paper more speculatively. Remember a small dip at the end of the day when the debt offering was announced in the evening? well that was it!

To: Xpiderman who wrote (10487)	6/29/1998 9:35:00 PM
From: Keith A Walker	Read Replies (2) \| Respond to of 13594

$500 million new common: Possibly needed to cover options grants to employees. This will be problematic for AOL as employees move to cash in on options that are "way in the money" by now. Will only further dilute earnings. Forbes had an excellent article on this a few months back and pointed out that AOL was at risk. Microsoft really has a problem on their hands: If all of the options that Microsoft has granted were called, they would have to come up with $10 billion in cash to cover. Whenever Warren Buffet takes over a company, he cleans out the options grants. The Forbes article makes a pretty good case that the options grant "free ride" may be coming to a close on some of the high-flyers that have used them to attract talented employees.