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To: Richard E. Murray who wrote (9076)8/13/1998 12:28:00 AM
From: Alski  Respond to of 11888
 
Rick,
I think you got the Hunt's convertible deal mixed up with the previous warrants. The old warrants had a fixed price too. The potential problem with warrants is it sets up a riskless short opportunity. If you're holding warrants that allow you to buy stock for $1.50 there's virtually no risk in selling the stock short. Whenever it gets over $1.50 you can sell short and cover when it's back down. If GF pulls a rabbit out of his hat (we all hope) and you happen to be short, you can always exercise and cover. It puts a lot of pressure on a stock if there's too many outstanding warrants.
Alski



To: Richard E. Murray who wrote (9076)8/13/1998 9:57:00 AM
From: John Q Binford  Respond to of 11888
 
You are correct. I jumped to conclusion too quickly.