To: Jay D. who wrote (1402 ) 7/22/1998 12:42:00 PM From: Shorty Long Read Replies (1) | Respond to of 4080
Jay, I am positive. Also, the preferred stock converts one-to-one to common. I also spoke with Jerry, but very shortly, as I knew others were also. I think the answer to the Genesis arrangement, is that it just was not a good fit for either company. We are all disappointed, as I'm sure Beacon is about the delay in audited financials. The 4.1 float is really old news. We knew this some time ago. I think if we realistically look at the $50 mil as a projection by Pinnacle, with current activity to approach that figure, that is how we need to view near term potential. The on going activities to acquire other operations is positive. Beacon is a holding company. I guess the 6.3 outstanding shares results in a per share value of about 60 cents??? Another mil will bring it down to 55cents??? That is of course current value. As the acquisitions occur and revenues increase, as a holding company with little or no overhead and g&a the value should increase. I still believe a 30 to 40 cents EPS is achievable in 1998. So, stocks prices could be anywhere from $1.25 to $8.00 a share in January, depending on the 1999 outlook for expansion and growth. The critical thing is the release of Audited Financials. This tells the tale. Since the factory has been producing a variety of products since July 1, 1998, then there should be some indication of how well things have gone. Certainly, any additional PO's or contracts will be beneficial, along with other acquisitions. All in all, it isn't a 1.7 float and the $50 mil is not in the bag, but it is still an investment that I will stay with for the long term. Shorty