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Non-Tech : Any Stock Warrants -- Ignore unavailable to you. Want to Upgrade?

To: Richaaard who wrote (470)	7/25/1998 8:06:00 PM
From: ken h	Read Replies (1) \| Respond to of 1916

Your jmarw terms are wrong. The warrants are exercisable at $4.68. However, with the call provision kicking in $6.38, the warrants, at least by their current terms, offer little more leverage than the common stock. For example, if the stock triples (at which point the company would likely call the warrants), the warrants might do little better than quadruple or quintuple...very mediocre leverage, as warrants go. On the other hand, the company has shown an interest in seeing the warrants get exercised, so a reduction in the exercise price or an increase in the conversion ratio would not be out of the realm of possibility. My take, for what it's worth...all things considered, it's probably better to buy the common if you like the company.