To: Lazarus Long who wrote (27010 ) 9/24/1998 10:23:00 AM From: RocketMan Read Replies (1) | Respond to of 50264
Laz, that was the post of the month. Very honest and informative, although it is from a source (Cheryll) that is at best quasi-official. However, the way you described it does have the ring of truth to what she told you. Here are my comments FWIW: 1) I am thoroughly convinced we are not involved in a scam. I agree, scams are much more competently run :-) Besides, they have too much going all over the world to be a scam, and have been going at it far too long.2) IP Telephony revenues have been delayed, but it does not mean the death knell for DGIV. Agree, but delays hurt because it allows the competition more time to get in, and they are much better organized and funded.3) I am convinced that Jimmy wants to do the right thing... he just may not know how in some cases Agree.4) The management infrastructure is not in place to allow Jimmy to do what he does best and back him up while he is gone. Agree, and have said this for a long time now.5) It is obvious to me that there are some huge backers of DGIV... people that have access to a lot more information than we about the company's ability to pay debt service and generate income. Maybe, but I want to see some proof before I would reach this conclusion. The problem I have is that if they have such huge backers, why don't they buy enough shares to keep the price from tanking, to protect their own investment?6) I am still optimistic about DGIV's long term potential. It just appears that long term may further out than I thought. :-) I think that is fair, unfortunately, many (most) investors at least wanted to be out of the red before they stuck it out for the long haul. Not many want to be down 50% and more while waiting 6-12 months, and have sold.7) The 10-SB could be filed anytime if Jimmy decides to do that. This I don't agree with. I can't imagine he would not have filed it just because of a disagreement with a lawyer, since he must have known what that would do to the stock price. I still think there might be more behind the scenes, that Cheryll might not know about.Likewise, rumors have been flying around about a reverse merger to get to the NASDAQ. Either of those could happen at any time and cause DGIV's stock price to immediately find a new norm. I have my own opinions on the likelihood of this happening and what the norm might be in each case, but it is pure speculation... everyone needs to think that bit of "what if" through on their own. I agree, and think that Jimmy is aggressively pursuing this option. Thanks again for a most informative post. Since I did my own grading a DGIV's fundamentals last week, I would like to update that on my own scale, if anyone cares: Technology: 3 (NMSS/Nortel gateways and switches) Contracts: 1 (too many uncertainties) Management: 1 (obvious reasons) Total: 5, down from 6 This could change in a hurry if firm contracts with egypt or germany were announced, and the management problem is within digitcom's hands to change whenever they want. Of course, a merger throws this scale right out the window and starts a new ballgame.